Missold warranty

danshill

Hi,

After some advice lease.

I purchased a car on PCP just over a month ago.

As part of the deal I purchased a 3 year warranty for £600 which was added to my finance deal. It was later discovered that the car has a 7 year manufacturers warranty so the additional warranty wasn't required. The dealership advised they would refund the £600 but this was 3 weeks ago. They keep advising that they have made an error and it will reach me in another 3-4 working days.

I spoke with them last week and they promised (again) that it would be with me Monday at the latest. I checked the bank this morning and still not there. This is the 3rd timescale that has been promised and not met. I really don't know what to do next other than drive down, block the entrance and not move the car until I get the money.

Also, I have questioned the fact that although they are refunding £600 there will be interest accrued on the finance but they don't seem interested in that.

They also missold me a service plan. They informed me that if I didn't take their service plan then the warranty would be void. I questioned it and they advised it was mandatory. It turned out this was also a lie so I cancelled that a few days later.

It really has been a terrible experience.

Thanks in advance.

MyRealNameToo

danshill said:

I purchased a car on PCP just over a month ago.

As part of the deal I purchased a 3 year warranty for £600 which was added to my finance deal. It was later discovered that the car has a 7 year manufacturers warranty so the additional warranty wasn't required. The dealership advised they would refund the £600 but this was 3 weeks ago. They keep advising that they have made an error and it will reach me in another 3-4 working days.

I spoke with them last week and they promised (again) that it would be with me Monday at the latest. I checked the bank this morning and still not there. This is the 3rd timescale that has been promised and not met. I really don't know what to do next other than drive down, block the entrance and not move the car until I get the money.

Also, I have questioned the fact that although they are refunding £600 there will be interest accrued on the finance but they don't seem interested in that.

They also missold me a service plan. They informed me that if I didn't take their service plan then the warranty would be void. I questioned it and they advised it was mandatory. It turned out this was also a lie so I cancelled that a few days later.

Was this a brand new car or a secondhand one?

Have you compared the two warranties? Whilst it may not be cost efficient to have two warranties it is possible for their terms to be different and therefore some may want the added protection of a third party warranty to top up shortfalls in the manufacturers warranty. 

Given its over a month ago they have presumably paid the warrant company for the warrant and so are delaying to wait to get the money back to them pass on to you. 

Have you spoken the PCP company about making a lump sum overpayment to reflect the cancelled warranty?

born_again

Is it a Kia?
You need to make sure the 7 year warranty is still in tact.
If it has not been serviced as per manufacture. Then warranty can/will be void.

sheslookinhot

Any payment promised on a Monday, today or any day, would likely be at the end of the day.

I agree with above. You must check validity of 7 year warranty. You may or may not have this warranty.

Dave_5150

Worth checking you are happy with manufacturers cover level too if it is still valid. It is unlikely to be bumper to bumper cover (e.g. MG and Kia only cover infotainment equipment for up to 36 months).

paul_c123

I'd be keen to see a list of aftermarket warranties which are better than the manufacturer's one. I suspect its a very small (possibly blank) list.

Grey_Critic

When you purchase A NEW vehicle than you benefit from the manufacturers warranty. As a point of interest you can only legally claim on ONE insurance policy. 

The rules on servicing allow for a vehicle to be carried out by a non-franchised dealer on condition you use the manufacturer’s parts and is carried out to the manufacturer’s specification. The dealer cannot impose unfair conditions, He can make a servicing programme conditional - only he can do the work -  but he must make that clear before enetering into the agreement. Selling you another insurance policy was simply sharp practice

It is possible to void a manufacturer’s warranty if the work is claimed on A N Others warranty. For example if you fitted a starter motor and claimed on A N Others warranty if  the part subsequently failed you could not then claim on the manufacturer’s policy.

MyRealNameToo

Grey_Critic said:

When you purchase A NEW vehicle than you benefit from the manufacturers warranty. As a point of interest you can only legally claim on ONE insurance policy. 

Warranties are not typically insurance

What you can and can't claim on depends on the terms of the contracts. Generally you can't have both contracts replace a faulty head unit, if nothing else but from basic practicalities however in some cases if there are two coverages the two firms may share the cost. For example it's common in travel insurance for them to ask if you have another policy that covers your stolen phone such as home insurance, another travel policy from a packaged bank account or a dedicated phone policy. 

There can also be some sections that are not based on indemnity and you can actually claim on more than one, for example travel delay pays out something like £25 per 12 hours delay, you can claim that on top of what the airline has to pay you (if its their fault) and on multiple policies if you have them as its just token payment not intended to cover anything explicitly. 

Grey_Critic

***Warranties are not typically insurance***

Technically Warranties are a form of insurance policy - certainly when you have a non manufacturer warranty they are - Maybe I should have said you cannot claim against two warranties for the same repair. 

In all my years as a warranty manager I never had a manufacturer pay out to a third party - the exception was Fleet Operators who were registered -