Excess Mileage Charge - Reached Debt Collectors

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  • neilmcl
    neilmcl Posts: 19,460 Forumite
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    ^This, I'd imagine that this issue has been taken to court on a number of occasions but as there is no precedent then this just means that nobody has taken a judgement to appeal at a higher court, it certainly wouldn't be in the best interests of the finance company to do so either just in case they lost.
  • ScotsMan2017
    ScotsMan2017 Posts: 9 Forumite
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    To keep everyone updated.

    Communication between car company and the debt collection agency has broken down, according to them they have settled my complaint and the CCA allows for them to charge mileage excess. I have until 6 months after the final response to contact the financial ombudsman to log a complaint.

    After which they reserve the right to purse me.

    I replied basically saying that them telling me the CCA allows them to charge me doesn't make it true and could be them scarying me into paying. And until I have evidence or someone in power tell me that is the case I will not be paying.
  • fiisch
    fiisch Posts: 510 Forumite
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    edited 21 September 2017 at 11:00PM
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    I have no advice to offer, but this article is helpful - http://www.thecarexpert.co.uk/car-finance-voluntary-termination-pcp-hp/

    I am in the same boat. I recently VT'ed a Skoda Octavia vRS diesel with 52,000 on the clock, when I had only contracted 35,000. I have now had a bill for £1400. The car was returned in immaculate condition, but the mileage is over.

    My reasons were not as genuine as yours - the part-ex/private selling figures I was getting offered were abysmal - below the guaranteed future value, yet the vehicle still had a year left to run. The car had been passed to my wife, and was unsuitable, so I decided to VT and get her something smaller with cheaper monthly payments. I was also advised by the new dealer (Seat, so part of the same group) to VT and I should have no issues with the mileage - I accepted this, probably because it was what I wanted to hear.

    I freely accept I have used the VT perhaps slightly disingenuously, although I'd argue my vehicle's value was hampered by the downturn in public opinion of diesels and VW's emissions scandal.

    I found a letter template from Legal Beagals (sp?) which I sent back to the finance company and waiting to hear back.... I'm not sure whether by refusing to pay what I am doing is necessarily "fair", although the car did go back in exceptional condition (I wash my own cars, lambswool mitts and expensive products, do not eat/drink in them etc.!)
  • fiisch
    fiisch Posts: 510 Forumite
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    I sent a template letter from Legal Beagles basically saying I've paid >60% of the car and that it contradicts Section 75 etc....


    Skoda have investigated it as a Complaint and rejected it, on account of the fact they informed me several times on the phone regarding excess mileage charge. I do have the option to escalate to the Financial Ombudsman, but knowing how unpredictable they can be I'm not too sure about whether this is sensible.


    I disputed their decision - advising them that the dealership informed us that excess mileage charge would be waived on account of the fact we took a new deal with VWFS - and they are to investigate further, but no doubt they will find against me again.


    Any advice on how to proceed? Should I just pay the £1500-odd balance and get it done with, or is it worth letting it go to debt collection and ignoring it?!
  • Lucky_Duck_2
    Lucky_Duck_2 Posts: 271 Forumite
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    Have you VTd or traded your car in for a new one?
  • DoaM
    DoaM Posts: 11,863 Forumite
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    Raise it with FOS - it costs you nothing, and even if they don't uphold your claim their findings are not binding on you ... the finance company still need to pursue you through the courts to make you pay.
  • fiisch
    fiisch Posts: 510 Forumite
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    I VT'ed and bought a new car, but new car was in my wife's name.


    I would normally have part-exed, but the dealer said the particular offer on the new car meant that they could not accept any part exchange (the car was immaculate - I'm a hobbying car detailer!).


    Thank you - if nothing else, going to the FOS will delay precedings.
  • fiisch
    fiisch Posts: 510 Forumite
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    ScotsMan2017 wrote: »
    To keep everyone updated.

    Communication between car company and the debt collection agency has broken down, according to them they have settled my complaint and the CCA allows for them to charge mileage excess. I have until 6 months after the final response to contact the financial ombudsman to log a complaint.

    After which they reserve the right to purse me.

    I replied basically saying that them telling me the CCA allows them to charge me doesn't make it true and could be them scarying me into paying. And until I have evidence or someone in power tell me that is the case I will not be paying.


    Scotsman2017 - have you heard any more from the debt collectors?


    I have a deadline of Monday to pay up or it gets passed to the Collections Team. Plan to stall them by saying "I'm preparing as case for the FOS", then taking the full six months before escalating to the FOS to slow the timeline and hope my case gets buried...
  • rachel2017
    rachel2017 Posts: 1 Newbie
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    Any updates on this guys? I’m in the same boat... VT a car I had on PCP through VW financial services, now a debt collections agent from Liverpool keep ringing me and they even rang me dad. No idea what to do next!
  • MaximumFish
    MaximumFish Posts: 77 Forumite
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    fiisch wrote: »
    I have a deadline of Monday to pay up or it gets passed to the Collections Team. Plan to stall them by saying "I'm preparing as case for the FOS", then taking the full six months before escalating to the FOS to slow the timeline and hope my case gets buried...

    Any news on what happened with this? I'm looking to VT my own car imminently and was under the impression there would be nothing further to pay, so these threads have got me nervous. As it is I'm within the overall mileage limit but over on a pro-rata basis and was hoping for a nice, smooth handover. :-/
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