LawJaw 50 Posted February 5, 2016 A well-known finance house who shall remain nameless for now (you know who you are), has dreamt up a novel wheeze to ensure that all the nasty bits of Section 75 of the Consumer Credit Act (CCA) and more besides will be neatly and unceremoniously dumped on any poor unsuspecting dealer whenever the finance house (and they will) decides to capitulate to even the most spurious of consumer gripes. This week we have been asked to cast our expert legal eyes over some new finance terms and conditions, which have sneaked into the market. It is clear that the terms intend to ensure that the finance house will be fully indemnified by the dealer for any consumer complaint no matter how trivial or unmeritorious, which goes above and beyond all the nasty bits of the Consumer Rights Act (CRA). We have recommended that our client should not sign the new agreement under any circumstances since it is onerous and patently designed to avoid any Financial Ombudsman Service (FOS) referrals or any defence from us. Great for the finance house, rubbish for the dealer! Perhaps not so great for the finance house in question and any others that follow their lead, if dealers vote with their feet and take their business elsewhere. We heartily recommend dealers do just that. Dealers are urged to read the small print always and if in any doubt contact us. 1 Share this post Link to post Share on other sites
Rory RSC 596 Posted February 5, 2016 Can you PM who and we can aim to avoid Thanks Share this post Link to post Share on other sites
Rosemotors 31 Posted February 5, 2016 14 minutes ago, RS Car Sales said: Can you PM who and we can aim to avoid Thanks This Share this post Link to post Share on other sites
LawJaw 50 Posted February 5, 2016 Since publishing this news we have been flooded with agreements to check AND yes we can tell you the name of this particular finance firm however the point of the news is to advise car dealers to read what they are signing. We have found more examples of these nasty clauses, different finance houses, all slightly different so it would therefore be better if we could find the finance firms WITHOUT these clauses rather than just shaming those who have. I have sent you a PM 1 Share this post Link to post Share on other sites
Rory RSC 596 Posted February 5, 2016 Appreciate the PM and will keep eyes peeled. Share this post Link to post Share on other sites
James Baggott 227 Posted February 5, 2016 Thanks for this advice - I think naming and shaming for now probably isn't wise, but like you said, dealers should read the small print and where they're not sure contact you. As Car Dealer Club members (just £39.99 here) they can get access to your brilliant advice and other benefits. Well worth signing up to. 1 Share this post Link to post Share on other sites
sparky 274 Posted February 6, 2016 If it's the company I'm thinking of they really do want to have their cake, eat it and then go back for seconds without it touching their waist line. Still, I'd appreciate a PM to confirm. Thanks. Share this post Link to post Share on other sites
c_cars 56 Posted February 6, 2016 16 hours ago, RS Car Sales said: Can you PM who and we can aim to avoid Thanks +1 here please! Share this post Link to post Share on other sites
Steve92 80 Posted February 6, 2016 I'm interested too Share this post Link to post Share on other sites
Rory RSC 596 Posted February 6, 2016 1 hour ago, sparky said: If it's the company I'm thinking of they really do want to have their cake, eat it and then go back for seconds without it touching their waist line. Still, I'd appreciate a PM to confirm. Thanks. I think that sum's it up well. Share this post Link to post Share on other sites
thecarenthusiast 2 Posted February 8, 2016 On 06/02/2016 at 9:22 AM, Chris said: +1 here please! I'm interested aswell please. Share this post Link to post Share on other sites
LawJaw 50 Posted March 3, 2016 To be clear... not all finance companies have taken this route. However, our experience is that finance companies will sometimes roll over too easily on fear of the customer escalating any complaint to the Financial Ombudsman Service (FOS). Part of the finance companies reluctance to let the FOS investigate a complaint is that FOS will charge them a fee of £550 for each investigation (from case 26 onwards - they get 25 ‘free referrals’ a year). Now what some finance companies are doing to make their own life (and so that of the consumer) considerably easier is to get the dealer to sign a contract which binds the dealer to cover any losses from any complaint from the customer. Terms to look out for include: “The obligations of the dealer are intended to apply in addition to the rights and remedies available to the customer under any other statutory provision”. (so anything and everything is covered) “The Finance Company shall in its sole discretion determine an appropriate reduction in price.” (so no consultation with the dealer is necessary) “If a customer exercises their right to reject, the dealer will pay the entire purchase price back to the finance company and give the customer their entire deposit back”. (so no deduction for usage allowed) “The finance company can claim all losses etc following a breach or alleged breach”. (customer doesn’t have to prove anything merely allege a breach) Variations of the above have been found in recent terms and conditions sent to us by concerned dealers. However, we have also seen examples of fairer and more reasonable terms from finance companies which, for example, specifically include the right for the dealer to refer the matter to an expert for determination in the event of a dispute. In short, consumers already have an abundance of rights and so there is no need for finance companies to add to those, especially when in doing so they are arbitrarily passing on the cost to unsuspecting dealers. Share this post Link to post Share on other sites
Velicular 10 Posted March 3, 2016 Can I have a copy too please? Share this post Link to post Share on other sites
justina3 518 Posted April 19, 2016 This is the main reason i refuse to throw my hat into the finance market Share this post Link to post Share on other sites
Steve92 80 Posted April 19, 2016 6 hours ago, justina3 said: This is the main reason i refuse to throw my hat into the finance market Nice to see you over from detailing world Share this post Link to post Share on other sites
Okay dokay 3 Posted April 21, 2016 Can we not just make public which company this refers to? Surely if we are directly quoting terms and conditions it is a matter of fact and not opinion / libel / slander? Share this post Link to post Share on other sites
Steve92 80 Posted April 21, 2016 On 20 April 2016 at 9:22 AM, justina3 said: small world It is, although I've not been on there for a few weeks as I've incurred a ban for questioning why moderators remove posts for no reason. 1 Share this post Link to post Share on other sites
Wood235 36 Posted April 22, 2016 Can I have a pm who aswell pls? It's hard enough without people scheming things against us!! Share this post Link to post Share on other sites
