Help! Finance company have revoked finance on new car after my taking delivery :(

[Surfer01]

That being said, the car is currently not paid for and I'm not sure that the OP has any choice but to return it and look for alternative finance, preferably at a different dealership. I'm pretty certain that until payment is made, the car would remain the property of the garage.

The car is not the property of the garage any longer. It is the property of the finance company. To save hassles the OP should ask his mother to do the finance in her name and register the car in her name.

A Statutory Declaration may ensure that the mother is the first owner of the vehicle or it doesn't should up as having 2 owners within a month of one another. The OP then sets up a standing order to pay his mother the agreed amount every month. Problem solved.

[oddjobbob]

Incidently, I don't buy the story that you thought this was like a "guarantor". It isn't and you

 

No, I don't either

 

you have not paid for the car so you cannot keep it. Not hard really is it?!

 

Absolutely correct

 

OP you came on here and asked the question. If you don't ike the answers then you shouldn't have asked. You have to give the car back it isn't yours, it belongs to MB finance: other than that you can keep going on here and on other forums until someone might eventually agree with you.

 

Give the car back and buy one that you can afford.

[assisted blonde]

Can you not get a cheaper car and actually pay for it? or why cant mum buy a car, you pay her, and put you down as the keeper and main driver. TBH saying you wont return it is a bit agressive and at the end of the day why give yourself a load of hassle. You tried to pull a bit of a fast one, with or withoout the dealers help, it didnt work, at the moment all they want is the car back, so give it to them and dont give yourself even more problems.

[stu007]

Hi

 

If the Dealership is part of a chain then a Formal Complaint to their Head Office is in order as they may be unaware of this Dealerships actions.

 

Also have you spoken to Trading Standards yet.

[Ganymede]

Hi

 

If the Dealership is part of a chain then a Formal Complaint to their Head Office is in order as they may be unaware of this Dealerships actions.

 

Also have you spoken to Trading Standards yet.

 

 

 

None of that is relevant to the fact that the OP cannot keep the car.

[stu007]

Hi

 

It is relevant as that Head Office may be unaware of the sales tactics being used by their salesman in that particular dealership.

 

Yes I fully agree the OP will have no choice but to hand the vehicle back and the longer they delay this more costs are going to be incured by OP as the dealership at present is willing to take car back and end of, but the longer a delay that dealership will ramp up the stakes and take legal action for recovery of the vehicle.

[kabukiman]

I too went the same route with BMW finance some 20yrs ago. Car was financed in mothers name but registered in mine, unawares as garage flower had said this was not permitted. One thing when I picked the car up, the dealer registered in my mothers name but obliged in changing as previously requested but still as 1st registered owner with dvla.

[SeanG79]

I work in vehicle finance and fronting/accommodation is a surprisingly common practice (considering its a breach stated in the T&C's). If the bank/lender find out at any time the agreement will be terminated and the vehicle will repossessed. this may be 6 months before an agreement ends and you will lose the vehicle and be liable for payments.

 

Their are lenders however that allow "sub-hire" if made aware of this up front. But the registered keeper and direct debit will need to remain in the name of the hirer.

 

Alternatively you can go down the guarantor route.

 

In the case of the OP, the bank have not paid out so will have no interest in the vehicle the issue will be between the OP and the dealer but the dealer will hold clear title to the vehicle and as such could in effect report the car as stolen...

 

Regarding further action with respect to the dealer, I would take it up with the OFT (Office of Fair Trading) and possibly Trading Standards - as I understand, they are attempting to work together.

[sailor sam]

It seems to me that the finance co have NOT financed the car due to the descrepancy in the agreement. So the dealer has not been paid thus the car belongs to the dealer. So at some point, the dealer will want the car back and is no doubt taking legal advice as we 'speak' to achieve that.

 

Now the 'deal' itself is quite obviously not right. As for a guarantor agreement, as someone as already pointed out, the agreement would have to be in the OP's name for his Mother to be the guarantor on the inception of the agreement being made. Question begs is why the OP did not let Mother do the deal in full and then simply be the main driver of the car? Bottom line is that the car was financed in the Mother's name (quite why that was done in her absence is bizarre and the fault of the dealer IMO) and as such would need to be registered in her name as well as the direct debit payments. As far as the finance co is concerned, the agreement was 'breached' as their client transferred THEIR car to a third party; the OP. So under their T & C's, they have exercised their right to terminate the agreement BEFORE paying the dealer.

 

So where does that leave the OP? Well he is in the possession of a car which does not belong to him technically and despite the 'errors' of the dealer, sooner or later the car will have to be handed back or I can see legal action being taken. The OP says that he will maintain the payments on the car but he has no agreement in place with the dealer to accept that and no doubt never will.

 

Having given this some thought, I have to say that I am surprised that the OP thought that obtaining finance this way was legitimate. OK, the dealer (or his employer) may have 'assisted' in the wrong doing BUT it will not alter the fact that the car remains unpaid for. The other thing that the OP should consider is the fact that the car will have lost value and will no longer be worth the manufacturer's retail price thus incurring the dealer with additional losses of which i'm sure the dealer will be keen to re-coup.

 

I think the OP is looking at some very stormy waters indeed unless he either obtains finance for the car (which I doubt that he will) or hands the car back or comes to an agreement with the dealer (which I think is highly unlikely).

 

OP needs SPECIALIST face to face advice here.

 

Please Note

 

The advice I offer will be based on the information given by the person needing it. All my advice is based on my experiences and knowledge gained in working in the motor and passenger transport industries in various capacities. Although my advice will always be sincere, it should be used as guidence only.

 

I would always urge to seek face to face professional advice for clarification prior to taking any action.

 

Please click my reputation 'star' button at the bottom of my profile window on the left if you found my advice useful.

[assisted blonde]

Still say give the car back and stop creating problems for yourself, you tried it on and it didnt work, thats life !!!

[Surfer01]

Seems OP hasn't been on here for 2 days so maybe they do not like the responses telling them to hand back the car?

[Pringle9691]

I had real problems with car finance, and found a company that were willing to help even though I have an IVA!

Edited February 4, 2013 by ims21

[jasminedog01]

Hello, I read through this thread with great interest, I worked for the aforementioned company for four years in there collections department in Milton Keynes. I no longer work for them so am impartial. I know there agreements inside out, and dealt with fraud and passing accounts for termination. You need to be aware, as a luxury brand, mercs are a target for lots of dodgy customers, especially from abroad. I used to regularly send out letters to any customer that I felt was a bit iffy or something was not quite right. This was known on Mercedes Database as a "Vehicle at risk" letter. Basically it read like this

 

"We refer to clause blah blah blah. You should make the vehicle available for our inspection or withdrawl at any other time we fell ness." This clause forms part of the T and C`s off all MB,. Smart, and dodge chrylser agreements Dodge over about 3 years ago)

 

Because you refused to hand the car back, you broke the terms so regardless of all the direct debit bollocks, they can take the car from you, but it sounds like you have hidden it?

if you are driving it around, it will at some stage soon be recorded on the ANPR database (when the bloke gets round to filing the report which takes him all day) and you WILL get pulled over, it will then be stored for BCA to come and pick it up.

 

You best bet is to get your mum to ring 01908 245000 get her to speak to the manager of the collections department (naming no names, and don't tell him I told you to ring him), plead your case. If you have maintained payments, tell him that the dealer agreed with everything. Offer to meet with him at Milton Keynes with your mum if ness. If you cant do this, or your mum cant get on the phone, they wont want to know I can assure you. If you having been keeping up the payments, expect to lose the car anyway, and well done for buggering up your mums credit rating.

[Conniff]

You need to be aware, as a luxury brand, ....

 

Only in name, not in quality, the bodywork has one of the poorest records for corrosion.