BMW FINANCiAL SERVICES - disgraceful!!

Puff1n1234

Hello All,

I am new to this forum so a big hello!

Just wondered if anyone had any advice or could steer me in the right direction regarding the horrendous service we are currently encountering with BMW Financial Services.

We purchase a new car back in November and unfortunately took the offer of their Finance as it appeared to be quite good at 5.5%, we made it clear we wanted to over-pay each month to pay the car off within 10 months, "No problem, of course, just ring up, pay the amount and they will give you the balance each other and send out a statement." January, we attemtped to make a first overpayment, when we called customer services they had NEVER heard of anyone doing this before, after several calls and complaints, they finally took the payment, however, they advised us they could not send us monthly statements to show we have over-paid. Apparently the interest is calculated daily but NO ONE in the department knew how to do this, they promise someone will ring back but no one ever rings back.

They had advised the interest is calculated daily, yet our balance has already shot up £4,000! When questioned on this, they said "That's the interest added", I told them I informed it was calculated daily and they didn't know what I was talking about.

Fast forward to March and we've had the same problem again. I thought I would try emailing the Dealer direct so emailed the sales chap who sold us the car, surprise surprise, NO RESPONSE. No one ever calls us back and we are now in a situation whereby we do not know the balance, if they have even taken off the money and if over-paying was in fact allowed in the first place.

I am worrying myself sick over this which sounds ridiculous, but I hate owing money and just want to pay the damn thing off.

Has anyone had similar experiences or could advise where we go from here? I have spoken to the manager at customer sevrices who confirmed he doesn't know how to work out the interest himself!!!

poppasmurf_bewdley

Do we take it the dealer who sold you the car told you all this, but it's the finance company that's at fault?

hearts

Can you not check the details of your contract?.

Eonel

Puff1n1234 wrote: »

They had advised the interest is calculated daily, yet our balance has already shot up £4,000! When questioned on this, they said "That's the interest added", I told them I informed it was calculated daily and they didn't know what I was talking about.

I would expect that interest is calculated daily. The 4000 will likely be the forecast amount of interest for the loan over the whole period. If you ask for a "settlement figure" I expect they will tell you a number which only includes your interest accrued to date.

You should continue to make your overpayments into a a Cash ISA savings account. This will earn you 2-3% interest, somewhat offsetting the 5.5% they are charging you.

Then after 10 months, you should phone up and ask for a settlement figure. Hopefully it will be around the same amount that you have paid into the Cash ISA and at that point you can settle the loan.

rajarr

Hello,

You can make overpayments on your agreement, if you contact customer services they will run a report to either reduce the monthly payment or the term (potentially the residual value if you selected a select agreement) and can then tell you which one would save you the most money. You can do this monthly I believe. You can also ask for a settlement figure where you will get charged one months worth of interest plus the remaining rentals and get a rebate of the remaining interest.

Hope this Helps

Puff1n1234

Thanks so much for the responses - BMW financial services will not give us a settlement figure, they keep stating that they the interest has to be worked out and this days several weeks!! Plus there is no one in the department qualified to do this. They have also refused to send us a statement each month.

It was the Dealership that told us overpaying would be an easy and simple process.

There is no one to speak with at BMW financial sevrices

THat's a great idea about the ISAs, I will look into this.

AFK_Matrix

Yes but what does your CONTRACT say not what the dealership says. If it says you can overpay in the contract then you can wave that clause in their faces. If there is nothing in the contract then your stuffed I'm afraid and looks like the ISA idea is the other way of doing it.

Mallotum_X

Have you tried going back into the dealer and speaking to them about it.

Puff1n1234

Yes, it's in the contract you can over pay, however, no one in the department can help us with the settlement figure! Very frustrating, dealership won't return my emails so we are pretty much stumped

chanz4

They dont have todo monthly statments, is this a regulated finance agreement or not ? If it is the new regs that came in should allow

pc1271

If your contract says you can make over-payments and they are refusing (or are unable) to accept them, they are in breach of contract. The best bet is to make a written complaint stating how much you planned to pay every month, and just put the payments into an ISA. When you've received an official response, you can ask for compensation equivalent to the interest you've over-paid.