Contacted regarding missold PCP

Daniel2curtis

I've gone fully into this with Vertitas solicitors, they even ask you to sign for a loan to cover the legal costs and the insurance if you lose. 
Having read this thread I'm now really worried I've walked into a trap. 
Can someone tell me if I'm screwed? Cheers 

k3lvc

Daniel2curtis said:

I've gone fully into this with Vertitas solicitors, they even ask you to sign for a loan to cover the legal costs and the insurance if you lose. 
Having read this thread I'm now really worried I've walked into a trap. 
Can someone tell me if I'm screwed? Cheers 

You're not screwed - but you've placed a bet to the value of the loan you've signed for with, IMHO, very limited odds of you winning

Daniel2curtis

Thanks. I'll try and remember to update people on the outcome. These pcp claim websites are all over the Web and I havent found one report of a successful claim, or to be fair one report that someone has been scammed either. It almost feels like they are building up a massive amount of claims/data. 
I've chased it up twice recently and got an identical response both times about how I'm in the first stage of claim and it might take months for the financial company to reply blah blah blah. 

ontheroad1970

At the moment I don't think any actual claims have been launched.  They are collecting data and hoping that a mass of people threatening court action will persuade car dealers/financial institutions to settle up out of court.  These groups of claims companies are parasites.  The result will be that it will get more expensive and more difficult to get credit because people are after a quick buck.  

Tiptop79

I'm interested in following this and exploring further. 

I can see both sides where people are saying if you knew the APR, why do you care about someone earning commission off the deal. 

My view on this is not being given all of the information to make an informed decision. When I bought my car, I was able to negotiate on the price (reduced by £1k) but when I asked about the finance apr, I was told it's based on my affordability.  I always think it's odd that if you think I can't afford something I have to pay a higher price to own it. No logic at all in that! 

So, in my case, if I find out that the dealer had a different commission earning rate card for different levels of APR, I would be extremely upset as this would be a conflict and not based on what I was led to believe (credit check) My APR was around 9.6% with VWFS paying £896 per month for four years with a balloon payment of £25k at the end. 

I didn't get any extra benefits from taking the finance as they offer two year warranty on all their cars regardless of how you finance it.

Does anyone know how to get the above info? Do I need to go back to the dealer, the finance company or the brand? 

Thanks

Grumpy_chap

Tiptop79 said:

I always think it's odd that if you think I can't afford something I have to pay a higher price to own it. No logic at all in that! 

The higher rate is to cover the risk of default.

k3lvc

Tiptop79 said:

I'm interested in following this and exploring further. 

I can see both sides where people are saying if you knew the APR, why do you care about someone earning commission off the deal. 

My view on this is not being given all of the information to make an informed decision. When I bought my car, I was able to negotiate on the price (reduced by £1k) but when I asked about the finance apr, I was told it's based on my affordability.  I always think it's odd that if you think I can't afford something I have to pay a higher price to own it. No logic at all in that! 

So, in my case, if I find out that the dealer had a different commission earning rate card for different levels of APR, I would be extremely upset as this would be a conflict and not based on what I was led to believe (credit check) My APR was around 9.6% with VWFS paying £896 per month for four years with a balloon payment of £25k at the end. 

I didn't get any extra benefits from taking the finance as they offer two year warranty on all their cars regardless of how you finance it.

Does anyone know how to get the above info? Do I need to go back to the dealer, the finance company or the brand? 

Thanks

Seriously ??

Where are people going to draw the line on shopper/consumer choice vs being 'missold' and deserving compo ?

Is the corner shop supplied by Tesco 'misselling' by charging you £1.20 vs Tesco Express at £1.10 and Tesco Superstore at £1.00 ??

At least with the car example you have the choice to shop around and to negotiate - having done your research you still chose to sign on the dotted line for the shiny new piece of metal (and to look for alternative finance at less than 9.6%) - would you have been happy if they'd reduced by only £200 but knocked 3% off the APR ?

Tiptop79

My point about the APR was that I didn't believe it was negotiable, much like when you apply for a credit card and the rate they give you is not negotiable.  

The reason for not going anywhere else for finance was that I didn't know I could and that if I have been offered that rate by the dealer, a credit check had been conducted so it would be the same wherever I go. Perhaps even worse as a search had been done on my file. 

I've always had company cars and didn't know anything about car finance etc.

What doesn't seem fair is that someone has potentially been paid more for overcharging me on interest and not making that clear.  It's funny how they tried to get me to sell my car back to them after two years and told me they could do a better finance deal and I was on one of the highest they had seen. 

I didn't sell it back to them btw. 

Sandtree

k3lvc said:
Is the corner shop supplied by Tesco 'misselling' by charging you £1.20 vs Tesco Express at £1.10 and Tesco Superstore at £1.00 ??

At least with the car example you have the choice to shop around and to negotiate - having done your research you still chose to sign on the dotted line for the shiny new piece of metal (and to look for alternative finance at less than 9.6%) - would you have been happy if they'd reduced by only £200 but knocked 3% off the APR ?

The problem is you cannot as easily cross compare prices... if I wanted to I could walk around within a mile of my home and probably see a dozen different stores selling Heinz Baked Beans.

I cannot go through a dozen different loan applications to see which give me the best price, for a start once I've gone past 1 or 2 the credit search start causing others to ramp the rate or decline, secondly if you've had a A1 Bank quote from garage ABC if Broker XYZ tries to give you a quote from A1 Bank they either are blocked or given the same rate.

Plus if you ever look at the news coming out of the likes of Which? and CAB there have been noises for years of unfair pricing approaches from websites which are ultimately similar - segment your customers and adjust pricing/sequencing/messaging etc based on elasticity and likelihood of sale. Unfortunately both more at the speed of glaciers so no action for a good while yet.

FS products are believed to be complex and its always David -v- Goliath hence statutory protections are some of the strongest compared to most other products.

Daniel2curtis

Has anyone got any further through with this other than initial submission of documents?