Getting out of a PCP Deal

kitkat1909

Hi there,
Sorry if this is the wrong part of the forum to post this question.

I have a PCP deal with BMW Financial Services which was for 4 years, starting in February 2016. The deposit was £347 and the monthly payments thereafter were also £347 on 28th of every month. At the end of the 4 years, I'd have the option to either hand the car back with nothing else to pay, or I could pay the "balloon payment" covering the difference between what I'd paid and the original total value of the car.
One of the clauses in the contract stated that I could voluntarily terminate the agreement at any time, but that I'd have to have paid half of the original value of the car. In August 2018, they told me the value of this would be £3259. I could either pay that, or wait for the figure to come down (ie with each monthly payment of £347 until I've reached a figure of zero). I decided to continue with my monthly payments.

On 17th May 2019, I set the wheels in motion to voluntarily terminate. I called BMW Financial Services, and they told me that the figure left to pay was £127.52. They said that I had to sign a termination form, and that once they'd received the form everything would be final - no going back. They also said that once the payment was received, my account would be put on hold and no further payments would be taken). They said that the quote they'd given me

I paid the £127.52 on 21/05/2019 by bank transfer, and e-mailed the form back to them on the same day. I didn't receive any acknowledgement, and after a few days, I worried that they were going to take another direct debit, so I cancelled it myself.

I then received a letter on 3rd June saying they'd received my notice of termination, but hadn't received the £127.52. I called straightaway and they said it was a mistake - the £127.52 had been received but just hadn't been posted to the account. I also told them I'd cancelled my direct debit as no further payments should be due - they said this was correct.

On 7th June, they wrote me a letter saying I owe them £220.44. It looks like they're still expecting me to pay a full monthly payment (ie they've taken my £127 off and are still expecting the remaining £220).

I was told verbally that as soon as I paid the £127 and sent the termination form, my account would be put on hold and no further payments would be due. I have this in writing from them when I enquired in August last year, as well as being told verbally on 17/05 and on 03/06.

They have said they're going to try and find the call recordings to verify what I'm saying, but I'm worried that this will impact my credit rating. The letter re the £220 says my account is in arrears and that this will impact my credit file if not paid.

Previous complaints I've had with them have taken months and months to sort out - should I pay the £220 and hope they refund it when they get the call recordings? Or should I stand my ground and risk my credit file being impacted?

Any advice greatly appreciated.

Thanks
K

I recenve

foxy-stoat

Yes pay them, it will be far better for you to battle for a refund than having a default on your credit file.

Technically you would of have a default if you don't pay even if it was their error or they lose paperwork or not finding the last payment you paid as they always say in small print never to cancel direct debit until everything has been cleared and confirmation in writing.

chanz4

I have just took a loan to pay these jokers, raise a complaint they are a joke