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Mis-sold vehicle warranty by garage...... HELP!!

clusters
clusters Posts: 48 Forumite
Hi there,

My OH is a private hire driver, he purchased a used car from a garage a few months ago. They offered a warranty (through a company they use) on the vehicle.

My OH explained his job (so the car usage would be for gain and reward) and also that he would do some hefty mileage.

The garage said that they had spoken with warranty company and this was all fine.

Anyway - long story short - the vehicle has had a few problems, warranty covered half the cost of the first problem, but our BMW specialist called this morning to say that, when he got in touch with them about the second problem, they have turned around and said they believe this vehicle is being used for reward and thus the policy is void!!!

Where do we stand with this? Obviously, the garage lied to us but I don't know who to start complaints with, who to pursue for repair costs, policy cancellation etc etc (basically, who should I start politely threatening by letter!!!)

Any advise would be greatly received!

Many thanks
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Comments

  • shaun_from_Africa
    shaun_from_Africa Posts: 12,858
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    It would be a good idea to contact your motor insurance provider and see if they offer legal advice. A lot of them will either give you free advice, or they give you the option for legal cover when taking out the policy.
  • spiro
    spiro Posts: 6,403
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    What do the T&Cs of the warranty paperwork say?
    Are there any witnesses to the fact you told the garage it would be used for hire and reward?
    IT Consultant in the utilities industry specialising in the retail electricity market.

    4 Credit Card and 1 Loan PPI claims settled for £26k, 1 rejected (Opus).
  • Wh05apk
    Wh05apk Posts: 2,938
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    Suggest contact the selling garage first, they may have genuinely had it agreed by the warranty company, however if not they are at fault, so pursue them, if the warranty company do not provide cover for this type of use, then clearly you have been mis-sold the warrnty by the dealer.
    I am a mortgage adviser.
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • clusters
    clusters Posts: 48 Forumite
    Thanks for your replies so far!

    The ts & cs do state NOT for hire or reward, which is exactly why the question was asked (along with the mileage).

    My OH spoke to the garage on the phone (as we are in Bournemouth and the garage is in South Yorkshire) and I was with him at the time when he asked specifically about the private hire and when the garage called back and said they had cleared this with the warranty company.

    He is currently waiting a call back from the warranty company and then I have suggested he calls the legal team through his insurance for advice, then pursue the garage.

    I'm assuimng that, because of the mileage my OH does (i.e 20k miles since purchse a few months ago) that we may have problems using the sale of goods act with the garage to get money towards the repairs. (repairs are not wear and tear problems though)
  • Flyboy152
    Flyboy152 Posts: 17,118 Forumite
    It would be a good idea to contact your motor insurance provider and see if they offer legal advice. A lot of them will either give you free advice, or they give you the option for legal cover when taking out the policy.

    Will they give advice on action against another insurer?
    The greater danger, for most of us, lies not in setting our aim too high and falling short; but in setting our aim too low and achieving our mark
  • Flyboy152
    Flyboy152 Posts: 17,118 Forumite
    clusters wrote: »
    Thanks for your replies so far!

    The ts & cs do state NOT for hire or reward, which is exactly why the question was asked (along with the mileage).

    My OH spoke to the garage on the phone (as we are in Bournemouth and the garage is in South Yorkshire) and I was with him at the time when he asked specifically about the private hire and when the garage called back and said they had cleared this with the warranty company.

    He is currently waiting a call back from the warranty company and then I have suggested he calls the legal team through his insurance for advice, then pursue the garage.

    I'm assuimng that, because of the mileage my OH does (i.e 20k miles since purchse a few months ago) that we may have problems using the sale of goods act with the garage to get money towards the repairs. (repairs are not wear and tear problems though)

    Based on what you have told us, it is clear there has been mis-selling, however, the difficulty is in proving it. Your testimony may help, but it will depend on the FSA's interpretation of an "independent" witness. Have you put in a complaint to the FSA yet?

    As regards the SoGA; what repairs are needed?
    The greater danger, for most of us, lies not in setting our aim too high and falling short; but in setting our aim too low and achieving our mark
  • shaun_from_Africa
    shaun_from_Africa Posts: 12,858
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    Will they give advice on action against another insurer?
    ,

    I've no idea, but I would have thought that any action would initially have been against the garage that sold the vehicle.
    It was this garage that offered the warranty (and presumably took the money), and it was up to them to ensure that the service that they took money for was suitable.

    Even if legal action is required to be taken against the warranty providers, they may not be registered as an insurance company so the OP's insurancers may well help out.
  • Wh05apk
    Wh05apk Posts: 2,938
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    When you bought the car was it obvious what the purpose was? what I mean is, did you ask them to fit meters or anything which would make it obvious what the use was going to be? or was it a garage specialising in private hire vehicles? did you trade in a car with mega miles on?
    I am a mortgage adviser.
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • clusters
    clusters Posts: 48 Forumite
    I can't remember the exact details of the first repair, but I know the second is the EGR (electronic gas recirculation) sensor (or closely linked to this).

    We have not informed the FSA yet as we only found out this morning that the warranty company is voiding the claim, but I will be planning to involve them at some point.

    I understand what you are saying about me not being considered an 'independant witness', but my OH has concerns about the mileage on the vehicle before he purchased it (130k - but these BMW engines go on for miles and miles). The warranty was what convinced him to buy the car as any problems that may flag up in teh first 12 months would be covered.
  • clusters
    clusters Posts: 48 Forumite
    Sorry - just spotted the last post - when we first contacted the garage, we told then that the car would be used for private hire (no meters as it is not a taxi).

    They were fully aware, as my OH had told them and also questioned it in regards to the warranty.
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