Kitchen finance

Andrw485

Last June ordered a Homebase kitchen (taking out Finance)  but the designer got 2 key measurements wrong. As a result several units turned up but didn't fit. Turned into a marathon saga throughout July to October when eventually some units were taken out of the re-design now based on correct measurements (collected by Homebase) and some much smaller ones provided where appropriate.

Waited for a final invoice for the actaul value of the kitchen provided (store manager said he would issue this) but Homebase went into liquidation before it was received.

The finance company began taking monthly payments against the original finance cost of £13300. No final invoice so this is £2400 or so  more that the cost of the final design.

Contact the liquidators and the finance company but no joy so far (although the finance co are reviewing).

I cant see why the amount due shouldnt be anything other than goods supplied and fitted. Surely the Finance co should not try to collect  the original finance amount for the incorrectly measured and never fitted kitchen!

DullGreyGuy

£2,400 seems a very large amount saved for switching a couple of units for a smaller size version, especially as we are talking Homebase not Roundhouse. Depending on the relationship with the fitter the delay/rework could easily offset that. 

What evidence do you have of the difference in value?

Andrw485

Apologies My post was possibly too brief as I was trying to be simple about the amount due.  The kitch was pre built top of the Homebaee range and the £2400 was based on items removed on original invoice. In summary
1) 2 wall units £500 removed completely
2) 1 corner unit £1200 replaced with £400 standard base
3) 2 600 mm base units replace with 2 250mm units. 
4) 2 600mm full height larder units replaced by 2 500mm larder units 
5) 1 less worktop
6) less Handles slasback etc
& finally they charged for a free tap.

TheJP

Andrw485 said:

Apologies My post was possibly too brief as I was trying to be simple about the amount due.  The kitch was pre built top of the Homebaee range and the £2400 was based on items removed on original invoice. In summary
1) 2 wall units £500 removed completely
2) 1 corner unit £1200 replaced with £400 standard base
3) 2 600 mm base units replace with 2 250mm units. 
4) 2 600mm full height larder units replaced by 2 500mm larder units 
5) 1 less worktop
6) less Handles slasback etc
& finally they charged for a free tap.

Do you have paper work citing the changes and new price? The finance company will charge what they paid homebase which will be based on the credit agreement you signed, it may be that you need to pay the finance company the full amount but try and reclaim the difference via the liquidators.

Andrw485

Hi JP. We have 90% of the paperwork and other items in emails backwards and forwards. Unfortunately no actual costs for the final 2 or 3 replacement units as Homebase said these were internal production only, as they would be paying. All now copied to finance company who are in their 8 week review period.
 I'm firmly of the opinion the amount due is only that of the kitchen provided - I have the store managers email that confirms this! By the way there was only a pre contract for the Finance never got to a final contract.

TheJP

Andrw485 said:

Hi JP. We have 90% of the paperwork and other items in emails backwards and forwards. Unfortunately no actual costs for the final 2 or 3 replacement units as Homebase said these were internal production only, as they would be paying. All now copied to finance company who are in their 8 week review period.
 I'm firmly of the opinion the amount due is only that of the kitchen provided - I have the store managers email that confirms this! By the way there was only a pre contract for the Finance never got to a final contract.

If you didnt sign a credit agreement then how do you have the goods? 

The finance company will likely not have been updated by homebase about the change in costs and rightly so the finance company will still demand payment for what they paid to homebase for your kitchen purchase. Unfortunately i dont see them changing the agreement and then trying to recoup the costs from liquidators so you may end up paying the full price in the long run.

FreeBear

It is likely that you are protected under the consumer credit act and any shortfalls or problems with the kitchen can be passed on to the finance company. Even better if you paid a deposit using a credit card, then you have another party to chase.

If the finance company doesn't want to play ball, once you've exhausted their complaints procedures, take the matter up with the Financial Ombudsman Service.

Andrw485

TheJP - At the initial store visit the store designer explained units could be ordered more quickly if we took out Finance but it was 2 mins out of 2 plus hours.

 The finance company have copied me a pre finance agreement form that I hadn't seen that has very sketchy information - for example no name or address on it.

Homebase CS acting for Teneo have just come back to say theres a £400 reduction they found when reviewing the records and FC will be advised to refuced amount - which is a start. They have also asked for proof the hot tap was free as part of an offer at the time ( this has now been  provided) so another £300 plus to come off. Hopefully they will find more. 

Whilst I appreciate the FC will need to recover their payment, Homebase collected all the incorrect units ordered so at the moment they had money for goods not supplied. 

Hopefully the FC companies complaint brings further reductions.  As you say FREEBEAR final step financial Ombudsman