Motonovofinance - COVID19 - Unable to make finance payments - Please help me complete requst to freeze

[Purpleflowers 2]

I lost my job this jan because work decided not to extend my probabation, so i've been out of work since then. During this time I have made 3 payments of £270 from my own savings and now I am really struggling.

 

I rang motonova last month before COVID19 started and explained I lost my job and wanted a reduction in the payment but they asked me what my out goings were and told me 'it looks you can make this months payment so we can't do anything etc'

 

Since COVID19 has started motonova now have this form available to ask for reduction of payments - see

https://customer.motonovofinance.com/file/cms/raw/888dda418afb548c00a1afc1cde50704.pdf

 

Given my weak financial situation can anyone help me with what I put down for these sections of the form so my request to lower or freeze payments stands a good chance of being accepted

 

1. Is your situation realated to the Coronavirus outbreak? Yes

 

2. Do you consider yourself to be in a high risk group, if so why?

 

Do you explicitly consent to us recording this information in your account notes?

 

I am no longer employed and have no income coming in.

Work have made cuts due to Corona and no longer employed by them

I am sorry I wont be able to make payments of £270

 

3. How much can you pay?

I can pay £25 a month

 

4. What are you proposing, and what help would you like from us?

I've lost my job and have no income. I've had to self isolate under the goverment guidelines with my family because my daughter had a cough at school. I've been applying for numerous jobs and have no luck and the COVID19 situation in the country has made the whole situation even worse for me. I request given the financial difficulty I am in that  you please accept my offer

 

What do you think of my reasons and how can you add or improve them? I really stressed out because my next payment is coming up in 3 weeks and I'm down to my last £400 of my savings and I've no idea how long it will take me to find a job

 

[dx100uk]

do you really need to keep the car?

 

dx

 

[Purpleflowers 2]

I've put 7k into the car and still have 8k left to pay which is why I need a freeze on the payments or offer £20 a month.

 

I'm only person in house that can drive and i do all the shopping so thats why needed,

 

what did you think of the reasons to lower the payment or freeze in my original post,

what would you add to it?

[dx100uk]

remove 4. 

adapt 3

 

put 

4. I have lost my job due to works closing because of zero business during the current virus trading restrictions.

 

3. I can possibly offer £25PCM for the next 6tms

 

the rest is none of their business.

 

IMHO, putting a further £8k into this car is poss a waste of money for the future as I see you have other more serious debts too.

get through this immediate period then IMHO i'd VT the car (DO NOT VS the CAR!!)

that way you only have to pay upto the 50% mark (see the reverse of their agreement) and you can get another cheasper one for now or borrow one?

 

you might also be entitled to benefits as you lost your job

get onto entitled.to site ...find out now!

dx

 

[Purpleflowers 2]

Thanks for the tip on point 4 and 3

 

I don't know what IMHO i'd VT the car (DO NOT VS the CAR!!) means? Please can you explain?

When I spoke to Motanovo in Feb (before the covid19 started in UK) they told me if I can't make payments then I have 2 choices

 

1. Motonova buy the car back because the loan is secured against the car

2. Sell the car back to the garage that bought it

 

I'm not a fortune teller and did not expect all this to happen, feeling so stressed out about.

I'm in process of applying for universal credit, worst time possible to lose job

Getting a cheaper car for less than £1500 would be better

[dx100uk]

VT = means voluntary Termination

should be on the reverse of the agreement you signed...read it..

bottom line is you will only be liable for 50% of the payments if you VT the car. 

 

VS voluntary surrender... whereby you will be liable for ALL the payments the total of the loan and lose the car!!...

 

so you can see that they are trying to con you by suggesting you hand the car back under VS never do that do VT.

 

as you point to above you can get another car...do that

and send these fleecers a VT letter

 

here are my notes on VT:

 

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...
..

 

 

there are lots of threads in this very same forum on your issue 

I suggest you read a few..

 

https://www.consumeractiongroup.co.uk/forum/192-vehicle-finance-and-vehicle-repossessions/

 

act stop needlessly worrying about something you don't need to keep 

 

 

 

 

[Purpleflowers 2]

This is my response to Motonova.....now waiting to hear from them

 

1. Is your situation realated to the Coronavirus outbreak? (Please enter Yes or No)      Yes

 

2. Do you consider yourself to be in a high risk group, if so why?     No

    Do you explicitly consent to us recording this information in your account notes?    Yes

 

3. How much can you pay?      £25

 

4. What are you proposing, and what help would you like from us?      I can possibly offer £25PCM for the next 6 months

 

5.  Please can you help us understand how your finances have been impacted? Please provide as much  details as you can -       I have lost my job due to works closing because of zero business during the current virus trading  restrictions. 

I am in the process of applying for Universal Credit.

 

Was it o.k to put in section 5 I am applying for universal credit?

    

 

 

 

 

 

 

[Purpleflowers 2]

Update!!

 

I emailed this to motonofinance on 09/04/2020 it says on the form they would get back within 7-10 days. I've not heard anything back from them so far!!

 

What makes it worse that my dd went out today and I was extremley lucky I had some of my savings in the account and motonofinance have today taken the dd out from my account this is despite me sending them the completed on 09/04/2020

 

What shall I do now, I'm literally down to my last 200 pounds, there is no way I can meet next months dd. The money motonofinance have taken out today was meant to last me 4-6 weeks.

 

It looks like motonofinance are doing this on purpose, they had my form on 09/04/2020 and today they taken out the dd from my account, i thought they had enough days to freeze or lower the payments for me.

 

What shall I do now?

 

motonofinance  does not care 1% about customers financial difficulties because if they did, they would not have taken the dd today, feeling very angry now

[dx100uk]

they don't 'take' a DD ...you pay it, why didn't your cancel the dd?

ring your bank and ask for it back under the DD guarantee.

[AndyOrch]

https://www.bbc.com/news/business-52321723

 

https://www.express.co.uk/life-style/cars/1270194/immediate-car-on-finance-payment-delay-plan-fca?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+daily-express-cars-news+(Daily+Express+%3A%3A+Cars+Feed)

[Purpleflowers 2]

I completed and emailed motonovo this form on the 09/04/20 to request lower payments or freeze due to losing job due to covid19.

 

On the 17/04/2020 they took the monthly payment from the account which had my savings which means I don't have much left because they took a charge chunk of my money.

 

I thought if i cancel the dd, motonovo would class it as a missed payment which would go on my credit file and go against me if i wanted say a mortgage in the future or any finance for that matter?

 

If I ring the bank what exactly do i tell them?

[dx100uk]

I would suspect MN will won't go near your file and if they do you have serious reason to get it remove

but anyway, a late payment won't hurt a prime mortgage ..

 

simply tell the bank you asked on 9/4 they accept a smaller payment, they ignored you.

go cancel the DD now online banking

 

and get that DD guarantee reclaim going.

its a simple call to their phone banking number.

 

 

[Purpleflowers 2]

I spoke to Motanova earlier in the day, explained I sent the online form to request lower payments for next 6 months and I was going to cancel the dd and ask the back to refund the money dd back to me.

 

MotoaNova told me it would be marked as a missed payment if I cancel the dd and ask the bank to return the money to me and it a note would be placed on my credit file

[dx100uk]

so what?

 

get on with it stop being a puppet in their hands.

 

it's your money, take control, not be controlled.

 

and for ……….. stop ringing them!

writing only.

 

dx

[Purpleflowers 2]

To get the DD guarantee reclaim going do I tell the bank I asked on 9/4 they accept a smaller payment, they ignored me and I want to get the DD reclaim going now?

 

If the bank ask me why I wanted to lower the payments I simply tell them what I put on the form I sent to Motonova, is this right, I want to make sure what I'm doing before I call the bank

[Purpleflowers 2]

If Motonova put a note on my credit file for missed payment or payment defaulted after I cancel the DD via online banking and then call the bank to restart the DD reclaim, would the note on my credit file stop me from getting a mortgage or applying for jobs when a credit search is carried out, that is my only concern, I don't want it impacting my credit history.

 

Technically its not a missed payment or default payment because I sent MNOva the form via email on 09/04/2020 and then on 17/04/2020 MNova took the DD out of my bank when in fact they had the form for 7 days after I sent it to them on 09/04/2020

 

- its been over 10 days now and they have still not bothered to respond,

I think they are ignoring it and plan on taking the next DD next DD in May,

thats what I'm thinking,

because there is no reason for MNova to ignore the form I emailed them on 09/04/2020

 

[dx100uk]

it won't hurt you and even if it happens you complain to the relevant authorities and get it removed.

 

go do the DD guarantee clawback and leave the DD cancelled too.

pay by bacs transfer manually your offered sum each month.

you don't need MN's permission.

 

dx

 

[Purpleflowers 2]

I started the DD reclaim today got it done via online live chat with the bank.

The bank told me refund will be dealt with within 1 working day and if further investigatuon is required they will look to refund me or contact me within 5 working days.

 

Now what if motonovo object to the dd reclaim and get it stopped, then what happens, will I still get my dd reclaimed?

 

I sent motonova the completed form as per my 1st post in this thread on 09/04/2020 - they have still not responded.

Do I now send that completed form to them via post recorded delivery?

 

[dx100uk]

about time you read a few like threads..use our search top right.

 

I doubt they'll object..

 

dx

 

[Purpleflowers 2]

Update!!

 

Motonova have emailed this yesterday and have no idea they are supposed to be also freezing all finance loan agreements for all customers as per the goverment guidelines of which someone posted a link in this thread.

 

'Apologies for the delay in response and thank you for your email.

Thank you for your understanding and patience during this time. We’ve taken the time to review the information you’ve submitted.

Before we‘re able to advise on a solution, we need some more information from you. Please complete the form below in full for us to review.

1.Have you sought any financial advice? If so, from who? How much are you entitled to?   
2.Have you spoken to any of your other bills? If, so, what have they advised?   
3.Do you have any savings you can put towards the agreement? '

 

 

What do you think of my answers to the questions above?

 

1.Have you sought any financial advice? If so, from who? How much are you entitled to?

Yes to my bank who have advised my to contact all companies to ask them to freeze payments.

I am in process of clamining universal credit

   
2.Have you spoken to any of your other bills? If, so, what have they advised?

They will freeze payments

3.Do you have any savings you can put towards the agreement?

No savings because loss job due to covid19

 

Are my answers strong enough to persuade motonova to accept lower payments and should I mention they should be freezing payments for 3 months anyway for all customers etc

 

[dx100uk]

all ok 

 

should I mention they should be freezing payments for 3 months anyway for all customers etc

yes

 

 

[Purpleflowers 2]

I've amended the reply to include the FCA wants motor finance firms to grant a three-month freeze on all payments, so I want a 3 month freeze on payments and then after the 3 months I will offer to pay £25 a month for the next 3 months.

 

Please see my amended reponse below before I send it to motonova

 

 

1.Have you sought any financial advice? If so, from who? How much are you entitled to?

I have been in contact with my bank who have advised me to contact all companies to freeze payments for 3 months. The FCA wants motor finance firms to grant a three-month freeze on all payments during the coronavirus pandemic. As per the FCA guidelines I request you grant a 3 month freeze on all payments starting from next month. After the 3 month freeze ends I will offer £25 a month for the 6 months starting from August.

   
2.Have you spoken to any of your other bills? If, so, what have they advised?

They will freeze payments

3.Do you have any savings you can put towards the agreement?

No savings because loss job due to covid19

 

I think it looks o.k before I send it?

[dx100uk]

just type..no need to keep hitting quote..

we know what we posted in the last comment..

 

yes that's ok.

 

[Purpleflowers 2]

dx100uk big thanks for your help, I will keep you posted on what they reply is

[dx100uk]

stop hitting QUOTE

just type in the box..please

 

it makes all your threads twice as long and difficult to find your reply..

 

dx