TV Finance Anomaly!

Daliboy

Hi there,

I wonder if someone can give me advice or their thoughts on the following please?

When I bought my new TV just before Christmas 2015, I decided to just pay 10% at the time, as I could pay the rest interest free as long as I paid within 6 months – not my usual choice, however it was just before Christmas, and I’d just spent a significant sum on a new house.

I paid the 10%, and they gave the receipt with the sum -10%, then the remainder shown as a finance payment, with the final balance owed showing £0 - as the remainder would go to the finance partner of course.

However, the point is, I knew the remainder was due to be paid in early June, so I called the finance partner on Tuesday to pay the amount in full.

The girl told me that there was no record of this purchase, and it looks like the retailer has essentially given me the TV for free (or the price of the deposit) – and that if I wanted to notify the retailer, then it was completely up to me, but she thought I would be wise not to say a thing.

I then decided to call the finance partner back on the Wednesday just to double check this was actually the case.

I got a guy this time who initially again said that there was no record of the purchase, but then he said that he could see there was indeed an 'application' from the retailer, but that it had never been actioned or given the go ahead, and was merely asking if I was suitable for credit... so there was nothing for me to do as I didn’t actually owe anything as it was only an application on the day – there was never any financial transaction between them and the retailer!!???

I got them to confirm this with me several times, and to reassure me that they would contact me should it materialise that I did owe them, and that I would not incur any additional charges should this so happen.

An acquaintance in finance told me that the retailer cannot actually demand the sum at this stage as the agreement was to pay the finance partner, however the finance partner has never taken on the credit agreement, and again, I should not do anything.

Essentially, I'm pretty much trying to establish if I should indeed keep quiet - or am I missing something here. I.e. can the retailer action the debt after the 6 months and chase me!??

I know this seems completely underhand, however, the situation has arisen outwith my control.

Any thoughts or advice would be welcomed.

Many thanks in advance,

Daliboy

takman

The shop has 6 years from the purchase of the TV to chase you for the money and take you to court.

You owe them the money because you agreed to pay them when you purchased it.

What you do now all depends on how ethical a person you are!

foxy-stoat

Did you actually owe the finance company anything prior to the interest free credit ending or did you owe the retailer?

I suspect once the retailer does not receive the payment for the balance your finance agreement will be submitted and the interest will be added from the day of purchase.

I would call up the retailer and pay the balance, as you said you would on the day of purchase.

pappa_golf

I would think that as soon as the finance was sorted the retailer would have been paid by the finance Co , ie: 6 mths ago

Daliboy

Thanks all,

foxy-stoat, as I say, it seem the retailer has never passed the credit to the finance company, so the actual agreed 'interest free' period was never actually set up with them. However, I also have a receipt from the retailer stating that I owe them £0

pappa golf, as the finance agreement was never set up, I suspect the retailer would have never been paid by the finance partner - hence they tell me I don't have any business with them.

takman, it has always been my intention to pay for the TV as agreed, but through the advice of the actual finance partner, I'm keen to learn if legally there really is anything the retailer can do given they provided me with a formal receipt with a zero balance, with no finance partner in place.

It may be the ethics of their finance partner that should be questioned, given they advised that I do nothing.

tonycottee

Daliboy wrote: »

It may be the ethics of their finance partner that should be questioned, given they advised that I do nothing.

I don't really think it's only the ethics of their finance partner that's in question here.

Daliboy

tonycottee wrote: »

I don't really think it's only the ethics of their finance partner that's in question here.

Hi tonycottee,

I do completely realise how things can be interpreted, however, I'm not on a moralistic trial here, I'm genuinely interested in establishing if I had to follow the advice of the finance company, what, if any, the legal ramifications would be.

I have heard of such a mythical loophole... but my instincts tell me they don't exist.

More curious than devious!

poppasmurf_bewdley

And next month, you get a call from the finance company that they did indeed pay the retailer, so now you owe them the balance PLUS the interest as you didn't pay by the beginning of June.

That could be an unpleasant bite in the bum.

Daliboy

poppasmurf_bewdley wrote: »

And next month, you get a call from the finance company that they did indeed pay the retailer, so now you owe them the balance PLUS the interest as you didn't pay by the beginning of June.

That could be an unpleasant bite in the bum.

Indeed!!!!

Daliboy

Now to add to the quandary... I called the retailer, and they tell me they have lost all of my paperwork, and they now want me to come in to re-sign new documents!? Will this lead to an unnecessary second credit check - and again, doesn't this suggest they have no formal records of my purchase???

fusionx212

Daliboy wrote: »

Now to add to the quandary... I called the retailer, and they tell me they have lost all of my paperwork, and they now want me to come in to re-sign new documents!? Will this lead to an unnecessary second credit check - and again, doesn't this suggest they have no formal records of my purchase???

you are not legally obliged to go in and sign new paperwork as your paperwork is signed and set against you as per your copy of the agreement. this is legal and fair you enter into a contract in good faith you fulfilled your side by agreeing to pay they have the responsibility to file the paper work and follow the process correctly.

can you ring trading standards and confirm where you legally stand I am confident you will not have to pay.