Hitachi Finance Late Payment Charges!!

ashtomar84

Hi all,

I would like to share my experience and ask for any advice anyone can give on the matter as it seems a complete joke!

So firstly I bought a sofa from DFS on a 4 year loan with Hitachi. I then made the first 46 payments on time and with no default.

It was only when I got to the last two payments (47 and 48) that they didn't go through as I hadnt realised but the got rejected by my bank as I didnt have the funds...

These two payments were due in october 14 and november and amount to £16 each so 32 in total.

Here I am in January trying to settle the 32 pound debt, but after calling the company I get told that the balance is over 200 pounds!!! So effectively over 170 quid of charges for missing the last two payments! I told the person on the phone that I dont know how he can say it with a straight face! Apparently these charges relate to a number of things like fees for sending letters, bank charge reversals etc.

Surely this cannot be fair? Do I really need to pay this extortionate amount after only missing the last 2 of 48 payments?

Appreciate any help!

PS I'm not sure this is the correct forum so please feel free to move or point me in the right direction?

FireWyrm

It seems they are notorious for this type of shady behaviour. However, you can ask for a break down of the charges, get a list and then follow the instructions in this thread : http://www.consumeractiongroup.co.uk/forum/showthread.php?305301-Please-help-Hitachi-capital-charges!!!

They may or may not comply with your 'request' but all indications are that they will be 'reasonable' and you will get the charges waived.

greensalad

Get an itemised list of the bill. Locate the portions that you believe you owe (such as the payments for the finance e.g £32). Write a letter saying you agree to pay the charges but disagree with the extra charges and therefore will not pay them. Send this in a letter with a cheque for £32. Wait until they cash it and see if they chase for anything else.

I've done this for several companies now, just sent them a letter and say I'm refusing to pay their admin charges but will pay what I owe. It's worked twice now.

sourcrates

Just because they add charges, it does not mean you have to pay them.
In law, should the matter ever go to court, they would need to convince a judge that the charges were "fair" and "proportionate".
If its fairly obvious that they are "trying it on", then the case would be thrown out.
You need to take a similar stance, write and tell them what they have charged you is totally disproportionate to the amount you actually owe, and you will not be paying anymore than the outstanding missed payments.
Should they not be happy with this, then invite them to take you to court quoting what i have written above, there is no way they can justify charges of £170, on a £32 debt, that has not been to court, you will win.

pjryan21

Hi, pleased to have foind this post. I've had terrible problems with Hitachi. We had an interest free loan to buy a kitchen from b and q.never missed a payment in 2 years but because I'm self employed i was late transferring funds to account one month. They charged £22 and £25 for a letter. They are the ONlY credit company I know who dont just reapply for funds after one failure.

My issue is I now want away from them and settle loan. Do I pay it all including charges OR pay balance excluding charges then let them come to me?

Option 1 seems safer from credit rating perspective.

sourcrates

pjryan21 wrote: »

Hi, pleased to have foind this post. I've had terrible problems with Hitachi. We had an interest free loan to buy a kitchen from b and q.never missed a payment in 2 years but because I'm self employed i was late transferring funds to account one month. They charged £22 and £25 for a letter. They are the ONlY credit company I know who dont just reapply for funds after one failure.

My issue is I now want away from them and settle loan. Do I pay it all including charges OR pay balance excluding charges then let them come to me?

Option 1 seems safer from credit rating perspective.

Complain to them about the charges, sometimes a simple phone call, and a friendly manor, can work wonders.

My ex wife was late making her car payments with Barclay`s, over a period of time, she got around £200 in charges, i rang up for her, got put through to complaints, had a very positive conversation with a nice chap, who quiet readily removed the £200 in charges, there and then.

You don't know until you ask, keep it friendly, tell them there was a good reason for accruing the charges, and on this occasion, would they see fit to remove them, cant hurt.

Hudders1985

Not sure how active this thread is but wanted to quickly share my story after reading this thread. I have finance from Furniture Village through Hitachi for just shy of a year now, I had a text through in the week saying to call immeadiately - assumed it was a sales call so ignored but turns out payment didnt go through due to insufficient funds in the account (all my fault).

Called up to say to take the payment again to which I was informed there would be a £22 fine on my £60 monthly charge.....30% fee!!!

After reading the thread I called back, asked for complaints but the lady I spoke to helped me there and then. I pointed out that I'd never missed a payment and that a 30% fee wasn't a proportionate fee especially for a first time.

She agreed and waived the fee there and then. If anyone else falls foul just keep calm and don't just pay up!