HP Car Loan - CarCraft! Help Please!!

Sam-1990

I am in real trouble, been tottaly banboosled and pushed into a car deal today only to get home and find that i have been tottaly scammed!

They kept on telling me 10% flat rate, however when I get home i realise it is actually 23.3 APR!

This is the below e-mail, i have sent to car craft, FSA, and the financers. I am also going to try and call them tommorow, but as it is Sunday I doubt i'll get very far!

"
I bought a car on finance with you today via CARCRAFT, (16/05/09) and I would like to cancel this immediately due to the extortionate APR rate which has been added without being informed properly and within my rights. I feel extremely mislead and extremely disappointed in the CARCRAFT Leeds employees and 3rd party companies involved.

Please get back to me as soon as possible or provide me with a number I can contact you on directly. As stated on the application, I am entitled to cancel this agreement within 30 days (Cooling of period) of the applications commence date (16/05/09).

Please find my below application details that I currently have with you, and also my contact number/s.
CUSTOMER NAME : Sam James

DEALER NAME : CC Automotive Group LTD
DEALER NUMBER : 00000000000000000000000000
PRODUCT : Motor Loan
AGREEMENT REFERENCE : 0000000000000000000000
DEALER REFERENCE : N/A

PLEASE CANCEL THIS ACCOUNT IMMEDIATELY. I AM WILLING TO PAY THE FULL AMOUNT OF THE ABOVE FINANCE APPLICATION TO YOU IMMEDIATELY."


Please give me some advice, will I be able to get out of this!?

Sam-1990

I have got the numbers of the financers, FSA and CarCraft, I will start this fight in a couple of hours.

Any tips, advice please?

Malky

Sam-1990 wrote: »

I am in real trouble, been tottaly banboosled and pushed into a car deal today

If you were so confused then why did you sign if you were so unsure?

Sam-1990 wrote: »

Any tips, advice please?

Always read the small print. Flat rate and APR are two separate rates of interest. 10% FR v 23.3% APR sounds about right.

http://www.moneysavingexpert.com/shopping/cheapest-new-cars#4

Swans1912

Had the same thing said to me by Vauxhall and Ford however the key there was "Flat Rate" which I did pick up on straight away.

Read the contract, what is the cancelation period?

~Brock~

There is no point in involving the FSA - they do not regulate the supply of credit. That is the job of the OFT.

cyril82

If you think you were miss-sold the hp then you can include the FSA via the ombudsman service, but you must be in dispute with the lender before they will get involved.

So raise your issue with the lender, check your agreement and see if you have any "cooling off period" in which you can return the vehicle, although i doubt you will.

You will need some help with this, contact CAB and they may be able to put you intouch with someone who can help you.

~Brock~

cyril82 wrote: »

If you think you were miss-sold the hp then you can include the FSA via the ombudsman service, but you must be in dispute with the lender before they will get involved.

So raise your issue with the lender, check your agreement and see if you have any "cooling off period" in which you can return the vehicle, although i doubt you will.

You will need some help with this, contact CAB and they may be able to put you intouch with someone who can help you.

Involving the FOS in the above case would have nothing to do with the FSA - the FOS have had the jurisdiction to decide cases relating to the consumer credit act since April 2007, but this is a separate area to that of the FSA. Althought the two organisations may occasionally work or communicateon together on certain topics, they are independant of each other.

I do agree, however, that the OP is nowhere near this stage, and must first give the company 8 weeks to deal with any complaint.

Kazipoo

Just had a quick look through my own car finance agreement, and I do believe that you do not have the right to cancel or have a cooling off period because you signed the contract on their premises. You do however have the right to cancel the agreement at any time if you either pay half of the full amount plus any insurances you signed for and give them the car back, or pay the amount in full and keep the car.

Sorry its not better news, but I believe that the onus is on you to read the contact terms before signing it. My finance company gave us both the flat rate (4%) and the APR (7.74%) and they are apparently notoriously bad lenders, although we have never had a problem with them.

cyril82

You're right brock they are independent but do work together. The FSA are the regulator, so you would complain to them if you had a general complaint about a company's professional conduct, if you complain to them about a specific consumer contract, like this one, they will in most cases refer you onto the ombudsman for adjudication. That’s what i was saying really.

As you state though the OP is a fair old way from this yet, any dispute must be raised by the op with the business and either 8 weeks of non compliance with the complaint must pass or a final response must received before the ombudsman could be involved.

if the op thinks the company are deliberately misleading people they should report them to the OFT in this case as i believe it is they who Regulate this type of agreement and not the FSA? then a separate report should be made to the ombudsman for adjudication to be made on this agreement.

I think that would be the best course of action for the OP but i would still advise them to contact the cab to get some specific one on one advice.

Sam-1990

After alot of hard work and what seems like hours of phone calls I managed to book an appointment with the manager of CARCRAFT leeds.

Long story cut short, my finance agreement has been cancelled, and i have paid for the car with cash instead of takingout finance due to a family member lending me the money and me paying them back without intrest instead. I spoke with the finance company and cancelled with them this morning before the meeting, advising them I DO NOT want my reference number to be processed, I also spoke to the manager of Barclays Finance who assured me it will not be processed.

my car when also professionally valet, windscreen fixed and put back to normal. and i drove off a happy bunny with no 23.3APR contract agreement, and owened my car fully in the eyes of car craft. CarCraft couldn't of been more helpful in this respect and went out of there way to help me. Firstly trying to get me to sign for "8.9APR Rate" instead which I found offensive, as they would of had me paying 23.3APR yesterday!

I have e-mailed all the people back that I e-mailed last night above, informing them that I have resolved this matter with carcraft. and I have have proof of my purchasing the car and all the recepits so they cant try and catch me out again!

I count myself as an extremely lucky customer of CarCraft and due to my constant persistance I was able to get out of this agreement. I only fear for other people who are not as lucky as me and fall into this trap.

DO NOT VISIT CAR CRAFT LEEDS. OR CAR CRAFT. EVER!!