Threatened with car repo- previous previous owners logbook loan

[Kernowsally]

Hello,

Just wondered if anyone can advise.

 

 

A friend has recently purchased a vehicle through ebay.

 

 

Shortly after the updated V5 was received

a letter was received advising that the vehicle had outstanding finance

and that it will be repossessed on the 23rd of this month.

 

 

I have done some digging and it transpires that the previous owner never sent the V5 off

and that the logbook loan was in fact taken out by the previous - previous owner.

 

 

I have the name and address of the previous, previous owner as it is on the logbook,

furthermore I know where they work as it is on their facebook profile,

that I had a cheeky look at. I have not made contact yet.

 

Not really sure what to do now at this point,

 

 

can anyone advise?

 

 

I have spoken to the loan company, who don't really want to know.

 

 

Time is obviously of the essence as it is due to be repossessed next week.

I really would be grateful if any advice!

[dx100uk]

who the LBL with

 

 

you need to check if the bill of sale is VALID

 

 

many were NOT.

 

 

how did you find this out

did he get a letter or a door knocker

 

 

he NEEDS a copy of the BOS urgently.

 

 

dx

[gregs07]

Keep the car out of the way or garaged.

[Kernowsally]

who the LBL with

 

 

you need to check if the bill of sale is VALID

 

 

many were NOT.

 

 

how did you find this out

did he get a letter or a door knocker

 

 

he NEEDS a copy of the BOS urgently.

 

 

dx

Hello and thankyou so much for getting back to me, he was sent a letter, which I have in my possession. This included a Bill of Sale that is between the previous, previous owner and Hermes Property Services. How can I tell if it is valid?

[dx100uk]

from my notes.

>>>>>>>>>>>>>>>>>>

logbook loan repossessions are not always legal,

.

if linked to a CCA agreement or if the BOS has not been registered with the high court.

.

If BOS registered then yes they can reposses,

but have to show registration and debt details.

Registration

A bill of sale can only be enforced if it was properly registered.

Since this is an expensive and difficult process,

it is rare that this actually happens.

However, failure to register the bill of sale renders it void,

and so renders any security on goods void.

.

Consequently, before allowing any creditor to gain possession of your goods,

ask to see a registered copy of the bill showing the supreme courts seal.

.

You can also call the national debt line, and ask them how to search the registry yourself.

.

Also a valid DN must be issued.

.

If linked to a CCA then can not reposses if on private property without a court order

( but can if on public road and under a third has only been paid ).

.

Over a third, they need a court order wherever it is.

.

check for...[bOS]

.

No Independant signature

No Independant Witness

Not Registered With The High Court In 7 Days

not registered AT ALL!

.

Credit Agreement Details Not On The Bill Of Sale

.

how to check:

.

email:[email protected] ov.uk.[no spaces]

.

ring:020 7947 7772

.

write:

QB Enforcement Section,

Room E15-E17,

Royal Courts of Justice,

Strand, London, WC2A

...

.

ideally you need the BOS number

.

however

they can search by the Reg Number

.

...............

dx

[dx100uk]

aha logbook loans ltd

 

 

https://www.logbookloans.co.uk/

[Kernowsally]

Hello,

thank you so much for getting back to me.

 

 

This whole situation is so frustrating as apart from the kind people on here, it seems no one is really willing to assist!

 

I have looked at the Bill of Sale and it was stamped by the courts on 23 Feb 2012.

 

 

It does have a witness,

however I am pretty sure the witness is not independent as the witness lives at the same address as the person who took the loan out.

 

 

I am waiting for the Court to call me back as I type.

 

 

If the Bill of Sale is valid ,

 

 

I guess my only option is to hide the car and

 

 

pursue the person in person and through the small claims court???

[dx100uk]

wont stop them taking the car

 

 

bottom line is paying them money and then going after the person.

 

 

no a lot you can do if the BOS is valid

the witness issue I don't think matters sadly

 

 

why are ML not going after the person if they know their details?

 

 

how much are they after

minus of course all their charges and fees

which are unlawful.

 

 

trace fees

attendance fees

letter fees.

 

 

all that is owed is the outstanding loan balance

I don't even think they should be able to charge any extra int either

they might do a deal

 

 

dx

[theoldrouge]

first check your BOSicon is correctly registered

 

if it is, then negotiate hard

 

make a very low offer, and point out to them what you learn from here

 

 

http://www.fca.org.uk/firms/firm-types/consumer-credit/consumer-credit-research/logbook-loans

[theoldrouge]

Published: 05/06/2014

Find out about our research into the logbook loans market, some key findings and what we plan to do next.

A logbook loan is a loan secured on a vehicle where the consumer can continue using the vehicle, but ownership of the vehicle transfers to the lender.

 

A valid bill of sale, registered in accordance with the relevant legislation, operates to conditionally transfer the legal ownership of the vehicle to the lender as security for the debt . This does not apply to Scotland.

 

Bills of sale convey fewer consumer protections compared to those available for other forms of lending (e.g. lenders obtain strong rights of seizure).

 

Key findings

We found that consumers:

 

perceive benefits of logbook loans in being able to access large amounts of credit without credit checks, with repayments staggered over a long period

often have few alternative sources of large amounts of credit

tend to come across the product and the lender they choose at the same time, doing little or no shopping around

are often unclear about important loan aspects, e.g. the total cost of the loan, additional charges and the fact that ownership of the vehicle transfers to the lender

found communication by some lenders to be misleading and limited

say they are often subject to aggressive and threatening behaviour if they experience repayment difficulties

many experienced payment difficulties at some point, suggesting firms may not be carrying out adequate affordability checks.

Our research also shows that providers:

 

have high APRs, typically 400% or more, plus additional fees and charges

appear to rarely carry out affordibility checks

online lenders mainly consider the value of the car when granting a loan rather than the individual's ability to pay

in-branch lenders consider employment status as more important than the value of the car when granting a loan

report that they abide by the trade-body Consumer Credit Trade Association's (CCTA) code of practice, but noted there are numerous other lenders who do not

see repossession as a last resort

argue that low complaint levels, low repossession rates and high-levels of repeat custom are evidence of appropriate affordability assessments.

What we think

There is clear evidence of poor behaviour by firms in how they advertise to, sell to, communicate and deal with consumers.

Competition also appears weak, consumers do not understand the products well, shop around or switch. As a result, there is little competitive pressure on firms to offer good value logbook loans or to treat consumers fairly.

Lenders may be able to use the threat of vehicle repossession to pressure consumers to make high and for some, unaffordable loan repayments.

What we will do next

Given the evidence, this is a priority area to address.

 

As a small market with a few dominant players, we believe it is important that logbook lenders are quickly assessed, which is why we are requiring them to apply for full authorisation from 1 January 2015.

 

Logbook lenders that wish to continue providing logbook loans need to demonstrate how they meet our threshold conditions. These include conditions on suitability (including that a firm’s affairs are conducted in an appropriate manner regarding the interests of consumers) and on business models (including that the firm’s strategy for doing business is suitable for its regulated activities and that its business model is not exploitative of customers).

 

Firms that fail to meet our threshold conditions will be unable to satisfy the necessary authorisation standards and will not be allowed to continue trading in the market.

 

We will also respond to issues through our supervision and enforcement to ensure standards are maintained in the market.

 

We will take action where we find evidence of actual or potential consumer harm caused by firms not complying with legal requirements, our Principles for Businesses, or the conduct of business rules in our Consumer Credit sourcebook (CONCicon).