No signed credit agreement

waller555

Hi Hoping you can help me

So I want to cancel my car insurance... im with Rescue my Car but they have yesterday told me that they act as my broker I have a credit agreement with Close Premium Finace and that if i cancel I will have to pay the full premium of the 'loan' back to CPF

However, i remeber getting a credit agreement through from CPF but not signing it and returning it.... so in effect do i actually have a credit agreement with them? Im assuming not as there is no contract.... so can they make me to pay this full premium penalty charge ? Will refusing to do so affect my credit rating?

All i want to do is cancel the insurance on a car i no longer have

bigadaj

You accepted the contract by taking out the insurance whether you signed or not is irrelevant as you accepted their terms and conditions by accepting insurance.

Whether you have a. Claim for a refund will be down to the terms and conditions of seemingly both the insurance and the loan agreement. A loan for car insurance implies that you probably couldn't afford to run the car, it may well be the case that whilst you should be entitled to a refund if part payment of insurance through the year then their fees and charges for this wipe it out.

You'd need to read their contract in detail to determine this exactly.

You can make a formal complaint and then escalate this to the fos and or insurance ombudsman but I wouldn't be confident of a good out come.

waller555

I,accepted the insurance yes.... But it appears the credit agreement is with a separate company


Also, thanks but I can afford to run my car....the credit agreement is in place because I ticked the pay monthly box rather than pay annually....simply for ease if budgeting.... We aren't all in same boat....so please don't assume

Gordon_Hose

You've made use of the insurance thus far, you'd have a hard time proving otherwise in court.

For the sake of not trashing your credit file for the next 6 years, either carry on with the insurance or pay the premium to cancel.

opinions4u

Contracts don't require a signature.

You agreed to the contract by ticking a box.

You can play silly beggars and trash your credit file if you wish. But I don't recommend it.

AFK_Matrix

I assume you are getting another car or something, can you not just transfer the insurance to the new car?

I also think bigadaj got confused and thought you had got a loan to buy the insurance. Actually what he means is he has taken the insurance out on the car but the collecting of the money for the insurance as he is paying monthly is handled by this other company.

I had this once when doing monthly payment for my car insurance and got very worried when this random company contacted me asking for money, sooon figured it out. I now never pay monthly as you pay a fair wack more for insurance in comparison to paying a lump sum.

bigadaj

AFK_Matrix wrote: »

I assume you are getting another car or something, can you not just transfer the insurance to the new car?

I also think bigadaj got confused and thought you had got a loan to buy the insurance. Actually what he means is he has taken the insurance out on the car but the collecting of the money for the insurance as he is paying monthly is handled by this other company.

I had this once when doing monthly payment for my car insurance and got very worried when this random company contacted me asking for money, sooon figured it out. I now never pay monthly as you pay a fair wack more for insurance in comparison to paying a lump sum.

I always try to know who I'm dealing with in financial matters, makes things far less confusing. As you say typically costs for monthly payment are signficantly higher, and the OP has effectively taken out a loan to pay for the insurance to be able to afford it. So much the same thing at the end of the day.