Approved used purchase, misleading salesperson.

born_again

A thought. Is this actual insurance which would mean the company is FCA regulated?
Or is it just a company that will cover up to a limit.

AKMG

jimjames said:

Although that's exactly what I'd said several posts back but you then came up with another plan with 2 steps. If you just contact the insurers they'll tell you if there is a reason they can't cancel the policy, doing anything else is just delaying things. If they don't have your bank details then they'll need to get them to pay you back. 

BTW I don't see any evidence of fraud. Messy admin maybe and perhaps exaggeration of the risks of needing cover but that's pretty standard with any sales process - no-one would buy insurance if they were told the risk was minimal and they'd be better to put the money in savings account instead.

I think I expressed myself incorrectly, my 2 step plan was still to contact the insurer directly, the second step was to poke the dealer so they’d provide clarification regarding how they handle insurance refunds. Apologies for the confusion.

I have contacted the insurer and they were happy to cancel and provide a full refund, provided an instant email confirmation and said they’ve notified the dealer and advised me to contact the dealer within 4/5 days.

This is where my mistake will most likely be costly, as I signed an ‘order’ without reading the terms, I have no idea what portion of the full refund issued by the insurer will be passed back to me, and what’s the time frame for the dealer to process the refund.

The dealer’s Terms and conditions only cover returns/refunds of vehicle orders, but not refunds of insurance premiums ‘arranged’ through them.

This is what the fraudulent part is, withholding information regarding how they process cancellations and/or refunds, they are FCA regulated and therefore I’d expect a clear refund policy, just like the insurer provided.

AKMG

born_again said:

A thought. Is this actual insurance which would mean the company is FCA regulated?
Or is it just a company that will cover up to a limit.

Yes it is, and not just the insurer, the dealership itself is FCA regulated too according to their own leaflets.

eskbanker

AKMG said:

born_again said:

A thought. Is this actual insurance which would mean the company is FCA regulated?
Or is it just a company that will cover up to a limit.

Yes it is, and not just the insurer, the dealership itself is FCA regulated too according to their own leaflets.

Surely a car dealership itself won't be FCA regulated, although they may have affiliated finance companies that are?

Nearlyold

Car dealers are often regulated by the FCA certainly the ones I worked for as an F&I compliance auditor were. 

AKMG

Nearlyold said:

Car dealers are often regulated by the FCA certainly the ones I worked for as an F&I compliance auditor were. 

The exact wording is that they are ‘an appointed representative of (Business name) which is authorised and regulated by the Financial Conduct Authority’.

I took that they would be abiding by the same rules as they are representing an FCA authorised business.

eskbanker

OK, fair enough, I stand corrected - I (belatedly!) looked a few up and see that some are indeed authorised for certain specific regulated activities such as credit broking and insurance distribution.

Nearlyold

 For Dealers who want to be directly Authorised https://regulationhub.co.uk/f/motor-dealers-fca-authorisation-guide#:~:text=If you want to offer,plan and hire purchase plans.

For Dealers who don't https://www.itccompliance.com/