PSA Finance - Default Sums Notice

Polar1

Hi - hoping someone here may have experienced similar or could provide some advice.

On the 8/11 I returned a leased car to dealership ahead of inspection and collection from Manheim at the end of my agreement. When arranging the inspection / collection of the car I spoke on the phone with Manheim collections / bookings department and requested the collection be made after 5pm (so I could be present) - this was not possible and I was assured I did not need to be present for inspection / collection.

The inspection was carried out at dealership and car was collected. This morning (25/11) I received a Default Sums Notice to the tune of c. £500 for damage beyond wear and tear from the finance company I held the agreement with (PSA Finance).

So to keep this brief - where do I stand legally. Couple points in my mind which are pertinent (but I am no solicitor):

1. I have not received a damage report as I was not present at inspection (notice from PSA Finance this morning states I should have received a damage report)
2. I have not signed any documentation to agree or dispute the findings and £ estimate of damage
3. I have contacted dealership and they assured me no one signed the damage report on my behalf (only signing proof that car was collected)
4. The letter from PSA Finance regarding the collection states customer is required to be present. Is this my responsibility or Manheim? I mentioned this on the phone with Manheim and thought they may have refused to carry out the inspection without me. Instead I was told "it doesn't matter".

I am pretty angry at the situation as the car was in great condition (to which the dealership support, albeit this is subjective in the eyes of the law) and 15k miles under the agreed limit (but I appreciate this is a separate part of the agreement).

I have since cancelled the Direct Debit to ensure no money can be taken until I know where I stand. Annoyingly PSA Finance helpline is closed until Monday.

Am I correct in thinking that without my signature (or a signature by proxy from the dealership) I have not agreed or disputed the damage report and PSA Finance do not have permission to charge without further proof of damage or my agreement?

Any advice would be greatly appreciated.

Thanks

AdrianC

Polar1 wrote: »

I am pretty angry at the situation as the car was in great condition (to which the dealership support, albeit this is subjective in the eyes of the law)

Not really - there's an industry standard for fair wear and tear.
https://www.drive-electric.co.uk/wp-content/uploads/2016/05/Fair_Wear_Tear.pdf

and 15k miles under the agreed limit

You aren't being charged for excess mileage, but for damage above wear and tear.

Am I correct in thinking that without my signature (or a signature by proxy from the dealership) I have not agreed or disputed the damage report and PSA Finance do not have permission to charge without further proof of damage or my agreement?

No - otherwise you could return a crumpled ball of metal, and simply refuse to sign, and there'd be nothing they could do.

Your contract - which you did sign - included your agreement to return the car in a certain condition. They have inspected it, and say you did not meet that. Yes, you should have received a damage report - the post is not infallible. They should re-send a copy on Monday. It is not unreasonable for a business to be closed at the weekend.

Polar1

Thank you for the response.

Appreciate your points - but surely I should 1) have documentation of the damage they are claiming which the letter I received this morning clearly states and 2) have the opportunity to dispute.

Or as easily as I could return a crumpled ball of metal and refuse to sign, they could charge me any fee and claim there was damage.

To this point I still don't even know what I am being charged for.

EDIT: Just noticed extra bit added to your original response. The damage report should have been given to me in person on collection according to the notice I received this morning as agreement of charges. So nothing to do with post.

AdrianC

Like I said...

AdrianC wrote: »

Yes, you should have received a damage report - the post is not infallible. They should re-send a copy on Monday. It is not unreasonable for a business to be closed at the weekend.

Polar1

Thanks. But as I mentioned the notice I received states I should have been given a damage report when car was collected in person. So nothing to do with post.

My query was more around from a legal stand point I just have to hand over £500 for unknown damage at this point and now best part of a month down the line I cannot dispute (or otherwise) as car may already have been auctioned.

Appreciate your help though. Thanks.

AdrianC

Polar1 wrote: »

Thanks. But as I mentioned the notice I received states I should have been given a damage report when car was collected in person.

Kinda hard to do, when the inspection hasn't been carried out at that point. It's not unusual for the full inspection to happen once the car's back at Manheim's depot.

My query was more around from a legal stand point I just have to hand over £500 for unknown damage at this point

No, because they should be able to resend you the report tomorrow.

and now best part of a month down the line I cannot dispute (or otherwise) as car may already have been auctioned.

The report should include photographic evidence.

Polar1

Thanks again for response.

I get what you are saying. The inspection was done at dealership during collection according to the notice I received. I guess my view point is that I would heavily dispute there is a damage beyond fair wear and tear, but haven't seen any report outlining damage or signed any documentation.

Totally understand they can send me a copy of the damage report and pictures etc. But to have already sent a notice stating money will come out my account on X date I feel is wrong.

I will request the damage report and take it from there.

Ectophile

You can always instruct your bank not to make the payment. Whether or not that will help the situation is another matter.

Edit: If you're thinking of taking that route, I would suggest you make a formal complaint to the finance company first.