Have I been missold a hire purchase?

lanbe

I purchased a car on hire purchase. I went into the dealership and asked for a quote and was met with a pushy salesman as expected. The quote he presented me showed the net credit, monthly payments etc but failed to mention the finance charges anywhere on the quote sheet. Even the net credit I later worked out doesn’t include the finance charges. Without the finance charges, the figures looked fine to me so I agreed to purchase and I put down a deposit and signed the purchase invoice. I noticed at the bottom of the quote sheet it says “for illustration purposes only - not to be given to customer. This is not a customer quotation. Written details available on request.” I then asked by email for a copy of the pre contract credit information and finance agreement and I was told that I would be given a copy of both on collection of the car. When I went into collect, I was given the 2 to sign with the sales executive quickly skimming over details but I was not given a copy. On requesting this by email after the visit, I was told I would be sent a copy by the finance company. I have since noticed how large the finance charges are. Do I have a case to say I’ve been missold the finance product?

lanbe

When I say net credit, I meant balance to pay after deposit.

lanbe

I also asked the sales executive what the balance to pay means and he clearly said it’s the total balance remaining to pay after deposit.

[Deleted User]

Possibly. The dealer should give you a copy of the credit agreement and you should have read it before you signed it. It's no defence to say they were "pushy". Saying that, the FCA take a very dim view of bad practice and the finance company won't be happy either. Have you called them?

Also, the finance is different to the agreement to buy the car. If you get out of the credit agreement, how do you intend to pay for the car?

lanbe

I understand it’s not a defence to say it was a pushy salesman. My main issue is that the sales executive lied to me by misrepresenting the figures. I am happy with the car I purchased and the price I purchased it for. I’m just not happy that I was lied to and told that the remaining balance includes interest. I think they should correct the finance agreement to match what was given to me.

Nearlyold

What outcome are you looking for?

The balance to pay is simply the amount you would be borrowing after paying a deposit, it doesn't include the interest or fees.

Do the monthly payments outlined in the credit agreement match the payments the salesman told you about/showed you in respect of both the amount of each payment and length of time you will be paying them or are they different?

It sounds from what you say that the salesman failed to give you adequate time to consider the pre contract infomation and also failed to give you an adequate explanation of the credit agreement - these are both a regulatory requirement which he appears to have failed to comply with.

lanbe

I’m tempted just to send a complaint email to the dealership copying in the finance company

lanbe

I was told by the salesman that the balance to pay is the amount you’re borrowing plus any interest.

Mr.Generous

Did they quote an APR? If so what was it?

Edi81

That’s true. You repay what you’re borrowing plus the interest.

It does sound rather like mis bought rather than mis sold however make a complaint.

lanbe

I had to ask for the APR as it wasn’t on the quote they gave me but it was 6.5%.