Management company taking 50%+VAT

Hi

Over the summer I had a man knock at the front door and tell me they were signing people up in my area to try and get our council tax reduced by lowering the band. I had never even heard of people doing this but he made it seem that it was a lot easier and more successful when a group of people did it together from the same road/locality rather than an individual doing it.
I duly signed up as the idea of lower future council bills seemed appealing. He did mention their fee was 50% which I thought was a lot but as it seemed it was something I could not do on my own then it seemed beneficial to go along with it.
Anyway the reduction has been approved and my band has been lowered but they have sent a letter requesting 50% + VAT which seems extortionate, I did not know about the VAT. Also from looking online now it appears many people are doing it themselves.
Does anybody think I may have any form of redress or do I just pay up and put it down to being stupid and not looking into it properly.
Many Thanks
Louise

Replies

  • ThrugelmirThrugelmir Forumite
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    fireypop wrote: »
    I duly signed up

    There's your answer.
    Real insurance claim quote : -

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  • edited 24 October 2013 at 8:16AM
    JasonLVCJasonLVC Forumite
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    edited 24 October 2013 at 8:16AM
    fireypop wrote: »
    Hi

    Over the summer I had a man knock at the front door and tell me they were signing people up in my area to try and get our council tax reduced by lowering the band. I had never even heard of people doing this but he made it seem that it was a lot easier and more successful when a group of people did it together from the same road/locality rather than an individual doing it.
    I duly signed up as the idea of lower future council bills seemed appealing. He did mention their fee was 50% which I thought was a lot but as it seemed it was something I could not do on my own then it seemed beneficial to go along with it.
    Anyway the reduction has been approved and my band has been lowered but they have sent a letter requesting 50% + VAT which seems extortionate, I did not know about the VAT. Also from looking online now it appears many people are doing it themselves.
    Does anybody think I may have any form of redress or do I just pay up and put it down to being stupid and not looking into it properly.
    Many Thanks
    Louise

    If you signed a contract for them to obtain a refund or reduction in your council tax....and they have done that....then doubt you can now just submit your own claim and ignore them. Contractually, you agreed to let them do it.

    If the fees are extortionate then that is down to you not negotiating a better commission at the point of sale/sign-up.

    You could possibly argue breach of contract by arguing that the VAT charge was not made clear at point of sale, but that would depend whether VAT is mentioned in the contract or not. If VAT isn;t mentioned then you've got a good case, but if the contracts states 50% + VAT then you clearly agreed to that rate so hardly breach of contract.

    Is there some other way you can argue breach of contract (ie, was the reduction.refund less than they had guaranteed or were the timescales longer than agreed?)

    Maybe just accept that you should read contracts in full in future and also to research the subject before signing things away as most things can be done with a bit of help from google.

    You still have made a saving for the future and will still have a chunk of refund to play with as well, after all, you didn't have any refund at all before, now you do, so any amount is better than nothing (ie, think positive about this experience rather than negative).
    Anger ruins joy, it steals the goodness of my mind. Forces me to say terrible things. Overcoming anger brings peace of mind, a mind without regret. If I overcome anger, I will be delightful and loved by everyone.
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