Moneybarn - Repossession Order and Termination of Contract

[jb2010]

Hi all,

 

In massive need of your advice!!

 

Got a finance agreement with MoneyBarn in September of last year (2018).

Made regular payments until I had financial difficulties.

My last payment to MoneyBarn was April 2019.

I since then, did not make payments to them.

I did make contact with them and said that the arrears would be cleared as soon as I had sold my property, as I was moving in with my partner instead.

 

They then filed a default against me. (Although I found this out later on) 

Unfortunately, I then went through a tough period in my life, in which suffered badly with depression and anxiety.

I did inform them of this.

 

Once the property was sold, I contact them to ask for a breakdown of options and what I could do.

I did not receive this.

Instead, I had a lovely gentleman turn up at my door saying he has a repossession order and has come to take the car.

This was the first time I had heard of this, I wasn’t notified of any defaults prior to this (relating to when I previously mentioned “found out later on) or the termination of the contract.

 

I have since returned the vehicle after they told me I could not pay the arrears and/or pay 50% of the term and do VT?

I have also been told I cannot reinstate my contact.

 

I have told them about the mental issues I had, and said that I did not appreciate a guy turning up when I have my children and demanding the car.

Their reply was “we informed you of the termination and repossession” to which I said “no you didn’t”.

 

They argue that they sent it to my old address (despite me informing them of the new one) and I even asked the question of “how did the debt management agency know where to go then?” As they then informed me that they didn’t have my new address on file?

 

I appreciate I owe them money, however, I did say that the amount they are asking for is unrealistic and that I will happily contest in court. 

 

Any my advice will help!!! 

[dx100uk]

You didnt have to give the car back .

Repo guys are powerless.

 

Dont think there is much you can do now bar a time order if they do push things

[jb2010]

Still feel I can stone wall them though.

They can certainly take me to court and go down that route but they will be contested every step of the way.

 

Not only did they fail to notify me of any defaults but they also failed to notify me of the termination and repossession order.

 

I happily gave the car back to them as a gesture of good will as I already had another vehicle.

I did not want them filing for any theft of property etc so felt it was safer to do that.

 

I haven’t got an issue with paying them, but at the same time, to charge me interest for a full term of the contact, when I returned the car to them and would negotiate a final settlement figure, they haven’t lost anything and cannot take me to court for damages surely?

 

Sorry, just don’t see how I was meant to rectify the situation when they didn’t notify me in the first place?

And then the fact I told them about my issues as well, yet to have a repo man turn up at my door, was rather silly of them also?

 

Where can you see this going?

Maybe I’m being too stubborn? Unsure.....

[dx100uk]

No such thing as a repo order.

Its not been to court..which would be a return of goods order.

 

Sadly it doesn't matter the default got sent to the wrong address, its still valid.

 

Im a little worried on this you cant vt statement, that could save you 50%..there's a recent thread in this very forum on this ill have to go read again that rings a bell. They had to after being told off i think

 

Dx

[jb2010]

Dx, can I still VT if I have not paid 50% of the term though and/or seen 50% of the term through? 

My understanding was that VT can only be applied if there is a legal contract between the two parties, which they have now cancelled along with the fact that I have not paid 50% of the term?

[dx100uk]

if they spoofed you into VS..they are at fault.

 

part of cag is reading things = self help.

you indicated you had read everything in your initial post

[jb2010]

Part of cag?

 

I only know or VT as I researched this after having the conversation with them after a repo man turned up at the door. Didn’t know of VT before then. 

 

Im probably not making much sense.... 

[dx100uk]

Sorry not you

Twas another cagger re research here before...

 

So read that thread

Consider a complaint IMHO

[jb2010]

Currently awaiting a final settlement figure from them.

When repo man turned up, he stated they had a “repossession order” however, I know they don’t. I requested them to send me this information under the freedom of information act and also under the GDPR regulations as well. They have acknowledged they did not have one.

 

They have also attempted to charge me £510 for the debt management agency to collect the vehicle? I have said that it is unlawful to charge me for collection of ‘their’ property and this should be waivered.

 

I am waiting for them to ring me back today, I was so unbelievably angry earlier. However, I have now said that they either come up with a compromise, or I will attend court.

 

I don’t even care if I’m in the wrong, it’s the principle. They are an absolutely horrible finance company.

 

 

[dx100uk]

talking garbage.

 

would have to have been a return of good order from a court

and that didn't happen!

 

typical moneybarn..haven't a clue what they are doing.

 

no they cant charge you repo fee

and STOP talking on the phone!

 

WRITING ONLY put the phone down!!

 

 

[dx100uk]

Section 99 of the Consumer Credit Act gives the debtor the right to terminate a hire purchase agreement, 
simply by giving written notice of termination. 
.
The right to terminate applies at any time before the final payment becomes due, unless the creditor has already terminated. 
contrary to the line taken by many finance companies, 
.
the debtor need not have paid half the total amount payable, 
and nor do they have to pay any arrears, [read below carefully regarding arrears ].
.
before exercising the right to terminate.
 .
Sections 99 and 100 set out the debtor's liability on voluntary termination. 

The sections are complex, 
but their main effect can be summarised in brief as follows. 
.
If the sum of payments made and arrears before termination exceeds 50% of the total price, 
than the debtor is only liable to pay the arrears. 
.
Otherwise, the debtor is liable to pay half the total price, less any payments already made.
 . 
so the debtor can terminate at any time if he has reached the 50 % mark but would be liable for any payments still to reach the 50 % mark,
 .  
it does not matter if the account is in arrears at the time or request to do a voluntary termination.
.
you need to specifically nail them down that this is a VT and NOT a VS Voluntary surrender].
dont get caught out!!
.
take extensive photos and video of the car inside and out 
and underneath [use a selfie stick] and in the engine compartment 
ALWAYS.
.
if they try and charge a repo fee or collection fee they cannot:
.
The only charges you must pay are the ones contained in the legislation and itemised in section 101, 
the charge mentioned is levied after the agrement is terminated and is void in any case. 
.
All it means is that no one will collect the terminated car(their car), well that is ther problem it is no longer yours , your attachment to the car has been terminated..
.
173 Contracting-out forbidden.
(1)A term contained in a regulated agreement or linked transaction, or in any other agreement relating to an actual or prospective regulated agreement or linked transaction, is void if, and to the extent that, it is inconsistent with a provision for the protection of the debtor or hirer or his relative or any surety contained in this Act or in any regulation made under this Act.
.
This term is covered by the above section of the CCA 1974 in that it breaches this:
.
 99 Right to terminate hire-purchase etc. agreements.
.
 (1)At any time before the final payment by the debtor under a regulated hire-purchase or regulated conditional sale agreement falls due, the debtor shall be entitled to terminate the agreement by giving notice to any person entitled or authorised to receive the sums payable under the agreement
.
 In other words nothing can stop you voluntarily terminating.
.
although dependant on the way your agreement is written, they can charge excess mileage
.
 this has been accepted at county courticon level, but afaik has not been tested in a higher court
..
.
.

..............example letter..ADAPT TO SUIT.............
.
You must vt under s99/100 cca1974. do not sign any of their forms, or agree to pay anything. 
.
The car has just to be in reasonable condition for its age. 

If you have paid in excess of 50%, 
with no arrears there will be nothing to pay.
.
Send them the following letter, 
they MUST action your request, 
you should endeavour to be present at the vehicle inspection---
.
VOLUNTARY TERMINATION OF AGREEMENT UNDER S99/100 CCA 1974
.
 Account No: (xxxxxxx)
.

 Dear Sir,
 I am writing to notify you that I am exercising my right to terminate the above Agreement 
under Section 99 of the consumer credit act1974. 
.
You will understand that the aforementioned section permits the debtor to terminate the agreement 
at any time before the last payment is due. 
.
There is no restriction regarding the exercising this statutory right, 
particularly none in respect of any perceived arrears or monies due on termination
.
I understand that I shall be liable to you for the amount calculated under the formula in Section 100 
of the Consumer Credit Act 1974. 
.
**As I have/have not paid more than the amount calculated under the formula in Section 100 the amount due is £XXXX/zero.
.
 The above agreement will be terminated 14 days from the date of this notice.
.
 Please send me details of how the vehicle can be returned to you.
.
 You will be aware that statute prevents you from levying a charge for the recovery of this vehicle; 
guidelines also state that if you require me to deliver this vehicle 
it must be no more than a short (reasonable distance) from my registered address.
. 
 Please confirm receipt of this request in writing within 7 days of receipt.
.
-Yours etc...
..

 

[jb2010]

Does this apply to me though, as they terminated the agreement before I was able to VT. 

 

See previous messages for background into matter.

 

They failed to notify me of any defaults, despite me notifying them of my change of address. They also terminated 2 months after missed payments (as 3rd was many many many months before). They did not allow sufficient time for me to amend and correct the issue. The first time I had heard of the issue was when a repo man attended my property.

 

They are saying that I cannot VT as they have already terminated the agreement.

[dx100uk]

no such thing as a termination notice

they cant terminate without issuing a default notice.

don't get spoofed

MB never have a clue what they are doing and make up their own interpretation of the consumer credit act.

 

 

 

 

[jb2010]

Requested SAR for all information they have on me. Will also be serving them with my voluntary termination tonight.

 

They have now said that I am unable to terminate due to them already mandatorily terminating it through a default notice. I again, argued that I never received this. I will serve them with the VT regardless.

 

I explained that section 99 allows me to terminate. He said that I had voluntarily surrendered the vehicle. I have said I will still serve them with a VT as I explicitly told them that I was VT and not VS.

 

I will now only email, quite frankly, they are rude, manipulative and basically lied the whole time.

 

I also asked them to send me all the default notices along with this “notice of termination” that they claim to have sent me.

[dx100uk]

never use email or phone.

 

go read this thread

https://www.consumeractiongroup.co.uk/topic/380905-moneybarn-vs-repoccj-been-told-by-fca-they-should-have-vtd-ccj-balance-reduced/

 

then send them a VT letter 

and a complaint LETTER 

by royal mail.

 

complain that they sent the default notice to an old address when they knew your correct one

complaint that they didn't explain the differences between voluntary surrender and voluntary termination

and you have evidence you will take to the FOS should they refuse to honour your VT letter.

 

state you are well aware they have recently been warned/fined by the authorities for these exact same practices on other debtors and will forward your complaint without any further notification and seek financial compensation should they refuse to now VT which was due to their earlier error. and deception at the time of vehicle collect/unlawful repo.

you had paid over 1/3rd, they did not have a return of goods order from a court. the car was protected goods under the consumer credit act.

 

 

[jb2010]

So you’ll be glad to know that MoneyBarn aren’t upholding my complaint and I’ve now been informed to either phone to make a payment plan with them or to forward my complaint to the Financial Ombudsman. Yay!

 

I still haven’t received my requested information through an SAR either. So will be chasing this as well.

 

They’ve said that because they sent this information to the address they had on file, they did not feel that they are in the wrong. 

[dx100uk]

scan it up to PDF if you wish.

[jb2010]

here

2019-11-14 MB letter.pdf

[dx100uk]

so all the way back to my comment in post 2 

I think your only option here is a time order.

 

sadly unlike the 2 example threads referred too

they did send a default notice etc etc 

and abided by the rules.

 

I would however be going thru the statements with a fine toothed comb and getting any penalty fees removed from the balance 

like phone/letter/debt management and repo fees , all are unlawful penalties.

 

dx

 

[jb2010]

My argument though is that I did notify them of my change of address.

 

Seems weird that I requested under an SAR all the information they had on me, yet still haven’t received this. I know that I rung them to notify of the change of address. Which if they had updated correctly, then I would have received the default notice and therefore been able to correct things.

 

They’ve also stated that they informed me that my only option was to VS, yet that was never said. It was never made clear.

 

I just seem to think I’ve been screwed over good and proper.  

[dx100uk]

but they did issue the correct docs

the fact you didn't get them is now immaterial and of no use to you in an argument.

 

your only hope is their comms log in the SAR reveals something useful.

 

dx