PCP Contracts, Slight confusion

M

mjr901

Guest
Ive been over looking my contract this evening as i realised, i really haven't read it thoroughly, so i best have re read, and I'm a little confused at this below.......

[h=3]REPOSSESSION: YOUR RIGHTS[/h]If you do not keep your side of this agreement, but you have paid at least one third of the total amount payable under this agreement, we may not take back the Goods against your wishes unless we get a court order. If we do take the Goods without your consent or a court order, you have the right to get back all the money you have paid under this agreement."


----------------------------------------------------------------------------------------------------------------------------------
So lets say for example my one third is 12k. I stop paying after then. Whats the score here then?

They'll come get the car via a court order and give me a load of my cash back?

or

They'll potentially not get the car (no court order) and give me the cash back? essentially a free car??

Whats this about getting "you have the right to get back all the money you have paid under this agreement"

Obviously i know this will leave a black mark on your credit history by not paying up.............


So if they give the 12k back and take the car? hey, you've got your money back? back to square one but with a black mark??

I dont plan on leaving 8P's btw, i plan on going mad with mods !!:yahoo:

Will someone please enlighten me?
 
Im guessing it means, they can't take the car without a court order, but should the situation ever arise its more than likely the first thing they'll do is get a court order. In which case they would be able to come and take the car :shrug:
 
From what i can get from it, if they end up taking your car via court order, you can claim your money back?

Although i just cant see how they can benefit massively from this?
 
Im guessing it means, they can't take the car without a court order, but should the situation ever arise its more than likely the first thing they'll do is get a court order. In which case they would be able to come and take the car :shrug:

Yeah, but if they take the car, court order or not, i'm entitled to my money back anyway? :wtf: Hell it would be like winning the lottery.

Drive a mint car around for a couple of years then essentially give it back and say, "yes thankyou very much, ill take my 12k and a black mark"

Bargain :o.k:
 
Im putting an order in for a brand new black edition s3 in suzuka grey tomorrow with buckets on pcp. I will let you all know once it arrives
 
Im putting an order in for a brand new black edition s3 in suzuka grey tomorrow with buckets on pcp. I will let you all know once it arrives

I think alot of people will be putting orders in if Audi are offering money back guarentees!! :)

Thanks mate


Let us know! :)
 
They would get a court order then take it back and you get nothing apart from a big black credit mark and court costs
 
[h=3]REPOSSESSION: YOUR RIGHTS[/h]If you do not keep your side of this agreement, but you have paid at least one third of the total amount payable under this agreement, we may not take back the Goods against your wishes unless we get a court order. If we do take the Goods without your consent or a court order, you have the right to get back all the money you have paid under this agreement."

The way I read it is

If you have not paid 1/3rd of your agreement finance company can repossess the car with out a court order and you get no money back but you will get a black mark on your credit file for non payment.

If you have paid more than 1/3rd of the agreement then the finance company would need to go to court to get a court order to repossess the car once this has been done they can legally repossess the car and you will have to pay court costs also you will get no money back but you will get a black mark on your credit file for non payment.

If you have paid more than 1/3rd of the agreement and the car is repossessed without a court order and against your wishes then you can claim your money back.
 
it says though that even if youve paid over 1/3 and if a court order has been issued or not, your're entitled to all the money back that you've paid under the agreement?

Yes there's court costs etc but essentially they're giving you the money back?? seems somewhat crackers.
 
Isn't there such thing as a "halves rule" stating that after you have paid half of the total sum owed you can simply hand the car back with no black mark on your credit report and no further money owed? Effectively starting from scratch but left with no debt.
 
Isn't there such thing as a "halves rule" stating that after you have paid half of the total sum owed you can simply hand the car back with no black mark on your credit report and no further money owed? Effectively starting from scratch but left with no debt.

i believe there is mate :) I'm not wanting to give my car back or anything this simply caught my eye.

But hell if I did want rid and I'd get money back? hell, could be tempted!
 
Last edited by a moderator:
This clause, known as the Third Rule and the Half Rule are part of your rights under the consumer credit act.

The company has the right to repossess a car if you miss x repayments, or you lose your job etc. However, if you are an individual and are therefore protected by the CCA, then you have certain automatic rights that over rule what the company says it has power to do. If the company breach these rules, then yes you could get all your money back, but you won't get to keep the car. Essentially, the PCP will be void and you will be compensated for everything you've paid out under the agreement, i.e. a refund of the repayments.

The Third Rule says that once you have paid a third of the Total Amount Payable, the company loses its power to resposses the car, UNLESS it takes out a court order. Given that it has grounds to repossess (i.e. if you've stopped paying), then the court is mostly likely to grant that order and the car is repossessed. The only time the court might disagree is if you are elderly or disabled or live in a remote area so losing your car will impact your quality of life. You will have a 'black mark' against you, plus the court costs will be added to your balance. The car will be sold and if it doesn't cover your balance, you will still have a debt to repay.

The good one is the Half rule which says that once you have paid over half of the Total Amount Payable, you have the right to simply hand the car and keys back to the company and walk away with no further liability.
 
The good one is the Half rule which says that once you have paid over half of the Total Amount Payable, you have the right to simply hand the car and keys back to the company and walk away with no further liability.

I should imagine the cost of any excess mileage (if any) still applies?
 
I'm certain it will still apply as will all the Return Conditions. Whether the company persues you for these depends on whether the value of the car exceeds the balance on the contract. In these times, I expect the company will make a loss on the sale, so will be aggressive with the return condition charges to make some of it up.
 
A question to mjr901 (or anybody else who may know) -

Does your contract state that you HAVE to have it serviced by the main dealer? Mine is coming up for it's first oil change and I am unsure as to whether it has to go to a main dealer or I can take it to a VAG approved/specialist independant which would be cheaper obviously and would probably do a better job!

Surely a company cannot dictate that you HAVE to take it to a particular place to maintain your warranty? I would think that would come under unfair terms would it not?
 
I'm pretty sure it just has to be a VAT registered dealer. Had this conversation with Audi with regards to their warranty.... so im guessing its the same?

Oh and you can only use Audi genuine parts.
 
I'm not 100% as I don't have it infront of me at work but I think I remember reading that all they want to do is to maintain the vehicle. I shall have another read when I get home and let you know :)

it won't be for a few hours though :-/ oh why can't money grow on trees :-/
 
I'm not 100% as I don't have it infront of me at work but I think I remember reading that all they want to do is to maintain the vehicle. I shall have another read when I get home and let you know :)

it won't be for a few hours though :-/ oh why can't money grow on trees :-/

Thank you, much appreciated that! I look forward to your response.

I've gotten in touch with my leasing company today so I shall post their response when I receive it. :)
 
Thank you, much appreciated that! I look forward to your response.

I've gotten in touch with my leasing company today so I shall post their response when I receive it. :)

Ok it says that you have to keep the vehicle in good repair and condition, commensurate with its age and mileage. It doesn't mention anything about servicing it. so as long as you keep it in good nick then it's fine to service wherever.
 
Ok it says that you have to keep the vehicle in good repair and condition, commensurate with its age and mileage. It doesn't mention anything about servicing it. so as long as you keep it in good nick then it's fine to service wherever.

Thanks for looking that up mjr. I'll have a look at my contract tonight and see if it states the same.

I asked my leasing company (Arval) the following:

"I am currently leasing a car (Audi) from you and it is approaching it's first service. My question is, does the car need to be serviced by a main Audi dealer in order to maintain the warranty on it or can it be taken to an Audi specialist or Audi approved garage ensuring that they use genuine Audi parts"

they responded with -
"If possible this should be completed at a main Audi dealer in order to maintain the warranty as you have suggested, it can be done at an Audi specialist or Audi approved garage ensuring that they use genuine Audi parts if that is your preference.

I would suggest as you maintain the vehicle yourself that you contact Audi in your service logbook to confirm this, if the vehicle was maintained by Arval where possible we would always use an Audi main dealership for all servicing and parts."


That to me seems like quite the woolly answer! Almost as if they are unsure themselves? Under no circumstances does it state that it is compulsory in order to maintain the warranty.
 

Similar threads

Replies
4
Views
419
Replies
2
Views
547
Replies
8
Views
674
Replies
18
Views
2K
NHN