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Showing content with the highest reputation on 06/07/20 in Posts

  1. 2 points
    All the gory details are here: https://www.fca.org.uk/publication/multi-firm-reviews/our-work-on-motor-finance-final-findings.pdf Upon reading through, I think the situation is worse than a lot of people think it is. The franchise dealers were preparing for an upheaval this summer (then came along CV19) but if enough momentum builds in the claims management sector to go after them for historical issues then I believe we will see a bloodbath. Put simply, the timeline is something like this: 1. The financial regulators were historically quite weak 2. Banks and credit card providers took the piss and mis-sold PPI 3. A ruling was made, which the consumer groups won. (Then another related test case was also won). 4. The regulators liked the smell of victory and "got teeth" 5. Other areas of retail finance sat up and noticed; but car finance didn't 6. Car finance sector continued mis-selling on an industrial scale I believe another issue - one which CV19 will also 'break' - is the rather cosy relationship between CAP and the auction houses. Effectively they were trying to dampen down the volatility of used car prices, to reduce risk which the finance houses typically carried (because they're financing, and ultimately own, >80% of cars). In an otherwise balanced situation, if they can control supply then supply-demand means the prices stay up. Change demand by a significant amount (CV19, plus the part-collapse of PCP finance market) and their controls become ineffective. I believe we're heading for at least a partial- unravelling of the car finance sector, which is somewhat propping up the car industry.
  2. 2 points
    Nothing wrong with a profit and that's what to say to them . No BS , i have to make a profit because the tax man expects me too , or it looks dodgy . car retails at 5 k and with the prep , new wing , and a small profit to show the tax / VAT man its got to be £4,795 and that's doing you a huge favour because that leaves me £150 profit for the handling , you cant begrudge me a drink surely . Its all in the way you explain the the deal and not the number at the end .
  3. 1 point
    Apologies if what I post isn't 100% accurate - I need to look deeply into the details - but my understanding is there is, and always was, a requirement to inform the fact that commission is received (even if not asked), but not a requirement to reveal the amount of that commission. BUT the crucial factor is, if a motor dealer offers >1 finance offering, or a variable finance offering, they must indicate the best one from the perspective of the customer, not the best one from their £ commission. And it was possible to sell increasing DiC (difference in charges) or decreasing DiC finance, and earn more commission. Put simply, its to do with certain motor dealers being able to unfairly alter the split of money earned between the dealer-finance provider, at the expense of the customer, rather than the market able to function normally and set the cost of finance in a more appropriate fashion. Larger dealers (think.....big franchises) would act as price-setters, while small car dealers who offer someone else's finance are effectively price-takers. Somewhere will be a list of the "worst offenders" and I imagine the people who are on the list, know they're on the list. And we'll see over the next few months/years, a gradual increase in the amount of info in the public domain, as claims management firms etc gear up for this latest opportunity. They will apply because historically, when the PCP was sold we were either in the EU, or under the transitional arrangements which basically carried almost everything over for the interim. The rules at the time will always apply to historical agreements, can't make legislation which retrospectively makes something legal or illegal except in exceptional circumstances.....
  4. 1 point
    I saw it live. I appreciate your making forum aware of it (and James' journalism). My refined views on PCP is that for some, it is useful; but that its clearly not for everyone (and not for the 80% or so who have it). Beyond the specific findings and recommendations of the FCA, I am not sure if solicitors and claims management firms have enough to grip onto. After all, a misselling will be difficult to prove if someone in the past bought a car, used it then sold it, since cars depreciate (unlike insurance which wasn't claimable in the PPI scandal). Unlike PPI where the banks basically thought "this is fairly generic across pretty much all PPI sold", and thus they decided it wasn't worth contesting. It could be - depending on the details - a fairly narrow area of PCP which the finance houses certainly WILL fight on. One problem might be that car salespeople didn't fully understand the nuances of PCP and more likely missold something; unlike PPI where the bank call centre staff did understand the product better, but were directed from above to sell it (even though it was inapplicable most of the time). Obviously we need a fairly representative test case, and it go to court (then get appealed...then appealed, etc) to form a legal precedent.
  5. 1 point
    The prices are high because dealers opened again on 1st but auctions don't (fully) open until 15th. Its a temporary reduction in supply.
  6. 1 point
    Is that really as surprise? When I occasionally visit these places they always APPEAR to be over staffed & half of what they employ looks like deadwood to me. The staff merry-go-round twirls as fast as ever, these places are generally fuelled on bullshit & the whole new car industry is selling a product that about 90% of the populate can’t/won’t pay for. I may be incorrect but I also get the impression certain new cars only get a private bum on a seat if it’s via Motability. I’d of thought serious change is long overdue.
  7. 1 point
    basically they have you by the nuts work out if calling their bluff is worth future lost sales if not say no if it is maybe it would be easier to unravel the sale of the fiat and p/x and then issue new invoice for the fiat and write off the p/xas undone in your paperwork in case of future hmrc issues in relation to cra yes you would be liable,as it doesn't discriminate for charitable organisations as they want you to be a very difficult dilemma choose wisely me? well I would probably do a deal to appease them thinking I've done ok so far and a happy customer always stays a happy customer an unhappy one tends to go on social media citing 'avoid like the plague 'even though you did nothing wrong
  8. 1 point
    I haven’t read the rest of this because I’ve had a couple of beers. But from when I worked for them a few years back and the support they gave me when I highlighted back handers from part exchanges and a fronted finance deal they can go f themselves,
  9. 1 point
    A lot of people bash the Chinese yet pretty much everything is made there even the apples and Samsungs etc. I was on a £25 sim only tarrif and for £30 i would got the p30 pro. £25 would be the p30 and £20 for the p30 lite. So do bear in mind some phones have variants like the p30. TDi, SRi, V6, Premium, Luxury, e