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    • stud26
    • By stud26 3rd Mar 17, 9:36 AM
    • 22Posts
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    stud26
    PCP Voluntary Termination Paperwork Help Please
    • #1
    • 3rd Mar 17, 9:36 AM
    PCP Voluntary Termination Paperwork Help Please 3rd Mar 17 at 9:36 AM
    Hi

    I've requested voluntary termination on our PCP agreement through Barclays Partner Finance and have just received the necessary paperwork.

    I've seen in other posts like http://www.legalbeagles.info/forums/showthread.php?77612-A-guide-to-voluntary-termination-Your-rights that it is not necessary to complete the forms. Do I simply return them blank and include the suggested template letter?

    Also, on the phone they said to take the car to an auction house in Wimbledon, but the letter now states it needs to be returned to Macclesfield. Which do I believe, as the distance from Brighton increases massively!

    Alternatively, is it true I don't need to pay the collection fee?

    The paperwork also says that they will check the car in accordance with BVRLA guidelines, what are these exactly?

    Any help is greatly appreciated.
Page 1
    • neilmcl
    • By neilmcl 3rd Mar 17, 9:45 AM
    • 9,361 Posts
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    neilmcl
    • #2
    • 3rd Mar 17, 9:45 AM
    • #2
    • 3rd Mar 17, 9:45 AM
    First things first, it's important for you to understand that VT is a statutory right it's not something you need to "request". The only thing you need to is give them formal notice of VT, the template letter is all you need to do. Do not sign anything else. I don't believe you have to go around the country delivering the vehicle, usually they come to you. What make of car is it?

    If you haven't signed anything then you do not need to pay a collection fee, even if you have it's unlikely to be enforceable. All you need to do is make the car available for collection.

    The BVRLA guidelines determines what constitutes fair wear & tear for your vehicle. If you google BVRLA Guide then you should find examples.
    • stud26
    • By stud26 3rd Mar 17, 9:53 AM
    • 22 Posts
    • 12 Thanks
    stud26
    • #3
    • 3rd Mar 17, 9:53 AM
    • #3
    • 3rd Mar 17, 9:53 AM
    Thanks @neilmcl

    I've amended the template letter slightly. Does this look ok?

    "I recently called you to notify you that I wish to invoke my statutory right under section 99 of the Consumer Credit Act 1974 and hereby give you notice that the agreement is terminated effective immediately from the date of this message (03/03/2017). Please confirm by return acknowledgement of this message and to make arrangements for collection of the vehicle.

    The condition of the car is noted as being in a reasonable condition for its age and photographic evidence has been taken in the event of any future dispute as to the condition of the vehicle.

    You will be aware that the Consumer Credit Act limits my liability to half of the total amount payable under the agreement but excludes any sum payable as a penalty, compensation or damages for a breach of the terms of the agreement. Such terms imposed are inconsistent with my rights under the Act and are therefore deemed void and unenforceable.

    In the paperwork you have sent out regarding my voluntary termination, you state that; "if you would like your vehicle collected, there will be a collection fee of £125 plus VAT". I am under no obligation to pay any fees for the collection of the vehicle. Again, the Consumer Credit Act 1974 explicitly states that, my liability under the agreement is limited to half the total amount payable and any terms under the agreement which imposes additional liability directly or indirectly is strictly prohibited by the Act. As such, I shall not be paying any collection fees.

    The vehicle is now available for collection and I would be grateful if you could contact me on xxxxxxx or my husband on xxxxxx to arrange a suitable time within the next 14 days."
    • neilmcl
    • By neilmcl 3rd Mar 17, 10:00 AM
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    neilmcl
    • #4
    • 3rd Mar 17, 10:00 AM
    • #4
    • 3rd Mar 17, 10:00 AM
    In the paperwork you have sent out regarding my voluntary termination, you state that; "if you would like your vehicle collected, there will be a collection fee of £125 plus VAT". I am under no obligation to pay any fees for the collection of the vehicle. Again, the Consumer Credit Act 1974 explicitly states that, my liability under the agreement is limited to half the total amount payable and any terms under the agreement which imposes additional liability directly or indirectly is strictly prohibited by the Act. As such, I shall not be paying any collection fees.
    Originally posted by stud26
    I wouldn't bother included the above, you can argue that point at a later date should they insist on a collection fee. Keep the termination letter basic and to the point.
    • stud26
    • By stud26 3rd Mar 17, 10:08 AM
    • 22 Posts
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    stud26
    • #5
    • 3rd Mar 17, 10:08 AM
    • #5
    • 3rd Mar 17, 10:08 AM
    Nice one. Have just sent it as per your amendment. Fingers crossed it goes smoothly!

    Thanks for your help.
    • neilmcl
    • By neilmcl 3rd Mar 17, 10:13 AM
    • 9,361 Posts
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    neilmcl
    • #6
    • 3rd Mar 17, 10:13 AM
    • #6
    • 3rd Mar 17, 10:13 AM
    Nice one. Have just sent it as per your amendment. Fingers crossed it goes smoothly!

    Thanks for your help.
    Originally posted by stud26
    I'm assuming you've just emailed it. Personally I would have sent it via recorded post.
    • stud26
    • By stud26 3rd Mar 17, 10:33 AM
    • 22 Posts
    • 12 Thanks
    stud26
    • #7
    • 3rd Mar 17, 10:33 AM
    • #7
    • 3rd Mar 17, 10:33 AM
    Is that so you know they've received it?
    • MobileSaver
    • By MobileSaver 3rd Mar 17, 6:14 PM
    • 1,134 Posts
    • 1,576 Thanks
    MobileSaver
    • #8
    • 3rd Mar 17, 6:14 PM
    • #8
    • 3rd Mar 17, 6:14 PM
    Also, on the phone they said to take the car to an auction house in Wimbledon, but the letter now states it needs to be returned to Macclesfield. Which do I believe, as the distance from Brighton increases massively!

    Alternatively, is it true I don't need to pay the collection fee?
    Originally posted by stud26
    As already noted by neilmcl you do not need to pay a collection fee.

    In the extremely unlikely event that a PCP dispute ended up in court you would always want to be able to show that you at all times were reasonable and that the other side were not. Therefore if they ask you to deliver the car to a Brighton address then that would be reasonable, however Wimbledon or Macclesfield would not and so you politely tell them to take a running jump, as you have.

    If they have already corresponded with you via email then email notice is fine. All you need is an acknowledgement that they have received your notice even if they dispute some of your statements. If you do not get a reply within a few days then follow up with a reminder and if still nothing then send a letter Recorded Delivery; in all of your correspondence stick to the facts that these are reminders, the agreement terminated on 3/3/17 and that you will take no further responsibility for the vehicle. (If they start playing games then you can consider upping the ante; for example advising them the vehicle is parked a public road and that once the 14 days are up you will be cancelling the vehicle insurance.)

    Basically if the car is in reasonable condition for its age and you have already paid 50% of the original PCP agreement amount then that is the end of your liability. Perhaps understandably the finance company will try everything they can to get you to part with more money, even £100 is £100 pure profit for them as legally they are entitled to nothing. Above all else though do not sign any further paperwork that might make you liable for charges which fall outside your Consumer Credit Act rights.

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    • stud26
    • By stud26 8th Mar 17, 7:52 PM
    • 22 Posts
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    stud26
    • #9
    • 8th Mar 17, 7:52 PM
    • #9
    • 8th Mar 17, 7:52 PM
    Thanks for all your help so far. They've sent me some paperwork, one sheet is a 'Vehicle Condition Checklist'. Should I complete this at all i.e. state the conditions but not sign it, OR just send it back empty and let the collection rep do it?
    • stud26
    • By stud26 15th Mar 17, 3:53 PM
    • 22 Posts
    • 12 Thanks
    stud26
    So, the plot thickens.
    We refused to sign anything and called them. We agreed in the end that we'd sign and send our own letter confirming the VT, that the car was in good condition and that would need to come collect the car. The other forms wouldn't need to be signed.

    They received this letter 5 days ago and haven't made contact to arrange collection of the car. So we again called them. They said that they couldn't progress our case because we hadn't signed their forms. We explained about the previous conversation and we told that we were misinformed. When I quoted the law they said it wasn't the law (and they later admitted they didn't entirely know the law).

    So now we don't know who to believe.

    They're sending us the forms again to sign.

    Is this a case of who can dig their heels in deepest and longest. Do we continue to refuse to sign their forms? They said that other people in this situation have eventually buckled and signed.

    Also, is it wise to cancel our direct debit so they can't take further payments?

    Thanks.
    • neilmcl
    • By neilmcl 15th Mar 17, 4:18 PM
    • 9,361 Posts
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    neilmcl
    You have fulfilled all your obligations as laid out in law. I'd would inform that as far as the law is concerned you no longer have a legal interest or responsibility for the car and they should make arrangements to collect the vehicle. I would consider cancelling your DD and inform that you will no longer be insuring the vehicle.
    • MobileSaver
    • By MobileSaver 15th Mar 17, 6:57 PM
    • 1,134 Posts
    • 1,576 Thanks
    MobileSaver
    They said that they couldn't progress our case because we hadn't signed their forms.
    Originally posted by stud26
    That's entirely up to them; you have fulfilled your legal obligations, you do not have to do anything further except take reasonable steps so that they can get the car back (insisting you sign even more paperwork before they will collect is not reasonable.)

    When I quoted the law they said it wasn't the law
    Originally posted by stud26
    The law:

    Consumer Credit Act 1974 - Section 99

    (1) At any time before the final payment ... 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.

    Consumer Credit Act 1974 - Section 100

    (1)Where a regulated hire-purchase or regulated conditional sale agreement is terminated under section 99 the debtor shall be liable ... to pay to the creditor the amount by which one-half of the total price exceeds the aggregate of the sums paid and the sums due in respect of the total price immediately before the termination.

    (4)If the debtor has contravened an obligation to take reasonable care of the goods or land, the amount arrived at under subsection (1) shall be increased by the sum required to recompense the creditor for that contravention, and subsection (2) shall have effect accordingly.

    (5)Where the debtor, on the termination of the agreement, wrongfully retains possession of goods to which the agreement relates, then, in any action brought by the creditor to recover possession of the goods from the debtor, the court, unless it is satisfied that having regard to the circumstances it would not be just to do so, shall order the goods to be delivered to the creditor without giving the debtor an option to pay the value of the goods.

    A layman's summary of your only obligations:

    1) Give notice
    2) Pay at least 50% of the original amount due
    3) Take reasonable care of the vehicle
    4) Allow them to have the vehicle back

    That's it! That is all you have to do, they can ask you to do lots of other things but the law says only those four things so as long as you abide by all those terms your agreement with the finance company is at an end.


    They said that other people in this situation have eventually buckled and signed.
    Originally posted by stud26
    Lots of people will not be aware of their legal rights.

    Is this a case of who can dig their heels in deepest and longest.
    Do we continue to refuse to sign their forms?
    Also, is it wise to cancel our direct debit so they can't take further payments?
    Originally posted by stud26
    Yes, yes and yes.

    As neilmcl says, simply remind them the agreement has ended (or will on such and such a date depending on what notice you gave), the car is no longer your concern, you will be cancelling the insurance and please can they collect it at their earliest convenience.

    Personally I wouldn't bother calling them again; use either email or a written letter so that there is a paper trail. Do not be taken in, they do know the law and they do know that they cannot force you to sign anything else and they cannot charge you any other fees; it is a game to them as anything (even £100) they can rip you off for is pure profit for them.

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    • stud26
    • By stud26 15th Mar 17, 7:29 PM
    • 22 Posts
    • 12 Thanks
    stud26
    @neilmcl and @MobileSaver, thank you so much for these answers/ammunition. They're emailing the documents to us so I'll reply to them with this knowledge/knock-out blow.

    I'll let you know how it goes.
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