need help with close motor finance

[sammy8001]

hi,

 

im doing this on behalf of my husband

 

3 years ago he brought a motorbike on finance through close motor finance.

 

My husband made every payment on time via direct debt, the final payment was October 2013.

once this had been taken my husband cancelled the direct debit.

 

November comes and he gets a call from close asking where there money was,

he had taken GAP insurance which was meant to be paid but he had forgotten about it.

 

We didn't have the £200 they were after so he asked about making smaller payments which they refused.

 

they said if it wasn't paid by Christmas they would pass it to the next department.

 

Yesterdy my husband receives a letter "notice of termination" saying

 

" you are no longer in possession of the goods with our consent and we demand the return of our property forthwith"

 

I would like to know if they can do this,

he paid every payment for the finance, its only the gap insurance he didn't pay.

 

I was under the impression the bike was his now.

 

Would really love some help, my husband is worried he may lose his bike which he needs to get to work.

 

 

Thank you

[splodge19]

I've got next month left to pay then I'm done, well so I thought. I've just been "reminded" about GAP insurance and was told the same thing. The car is still theirs until I've paid that too! I've never missed a payment either! I'm fuming. Apparently I have PPI insurance on my loan too, however I thought this was the GAP insurance. I'm not happy at all about it. Not sure what I can do?

[dx100uk]

sri you've both been missed

 

the PPI and the gap are BOTH RECLAIMABLE

if they were mis-sold and or hidden

 

they should have been in the body of the agreement

and on your monthly payment scsheme.

 

if you have a look at the FOS website

it details about PPI & GAP reclaiming there.

 

IMHO I would not be paying it!

 

NEITHER are compulsory!!

 

dx

[sammy8001]

It seems like they are just trying to scare people.

 

My husband was scared and trying to find the money to pay them but I wouldn't let him.

 

I was sure they wouldn't be able to take his bike.

 

We have since had a couple of letters from them informing us of 2 £25 charges

they are applying to the account,

 

he called them and they said it is now nothing to do with them as it is being passed to a debt collection agency.

 

My husband is happy with this as close motor finance were demanding all the money which he didn't have.

 

At least with the debt collection we should be able to spread it between 2 payments.

[dx100uk]

I would not be paying a no powers DCA ANYTHING!!

 

they are NOT BAILIFFS

 

pers i'd be getting them reclaimed as advised

 

dx

[Surfer01]

Do not pay the DCA anything as GAP insurance is separate to the car finance and the two should never be linked. As you are disputing it get the DCA to return it to Close Finance under OFt guidelines.

[splodge19]

Unfortunately, I've just found the paperwork, but and vaguely remember a conversation nearly 3 years ago!

 

I honestly thought the £20 extra a month I was paying was the GAP insurance, but obviously not.

 

Reading through the paperwork they have sent me,

 

I have just looked at the policy number on GAP insurance documents & PPI insurance

and they are not my policy number,

they also have dates on there that are 3 & 4 years before I even bought my car?

 

Should I just pay the GAP insurance at the end as the lady said the car isn't mine until I've paid that

and try and claim that back and the PPI after?

 

Am I covered anyway as the policy number & start dates are wrong?

 

 

Sorry for gatecrashing the post!

[dx100uk]

who said the car isn't yours till the gap/PPI is paid...dx

[splodge19]

The lady at close motor finance said it wasn't mine until I'd paid the GAP insurance!

[2ltr16valve]

The lady at close motor finance said it wasn't mine until I'd paid the GAP insurance!

 

They will say anything to get the money. The guys and girls here know their stuff and have nothing to gain by leading you astray. In short trust them.

Claim that money back don't play into their hands

[dx100uk]

load of bowlarks from her then.

 

if its not part of the signed agreement

[as they claim its 'separate'

nothing to do with the car]

 

have you the agreement?

 

dx

[Surfer01]

GAP insurance is normally only valid for the first three years

and should not form part of the finance contract for the car.

 

After all a GAP policy for 3 years can be purchased for under £200

however if you take that £200 and add it into the contract,

that along with interest makes it a very expensive policy.

 

BTW on a rethink you probably cannot claim the GAP insurance back from the finance company

as it will have all been lumped together by the dealer and they maybe correct

in stating that you may still have a payment outstanding.

 

It all depends on how the finance agreement was worded as you may have to claim the GAP plus interest back from the dealer.

 

We got caught the same way and the GAP insurance company refunded us the full amount

less interest as we claimed it back within 2 months of the agreement being set up.

 

It was only afterwards we realised that we were paying interest on the gap insurance over 3 years.

 

Ideally we should have demanded a new finance agreement

which would have reduced the instalments and saved some money.

 

Unfortunately I think if it was part of the car finance agreement,

you may have to pay the balance before the car is legally yours.