car has log book loan - nightmare

[cupcake girl]

Hi can someone help i bought a car and have had a letter from logbook loans stating the car had a loan on and they are coming to get it

[cupcake girl]

Please help bought a car in june and have recieved letter from lbl saying the person who sold me the car had a loan and they want the car as he hasnt paid the loan what can i do

[dx100uk]

Sadly other than making sure the bill of sale is registered there's no much you can do bar pay them

Or offer to come to some arrangement

 

The govt are trying to negate such issues

http://www.consumeractiongroup.co.uk/forum/showthread.php?451921-Proposed-Protections-for-Logbook-Loans(1-Viewing)-nbsp

http://www.consumeractiongroup.co.uk/forum/showthread.php?446819-Help-needed-logbook-loan

 

Dx

[Conniff]

I would hide the car away until they show you proof positive that what they say is correct.

 

Did you buy the car from a dealer or from a private person ?

[cupcake girl]

Also have nowhere to put car so have chain it to my car till tomorrow

[cupcake girl]

Private seller

had the full service history mot logbook

seemed genuine but not so

 

tried ringing but no such number

 

contacted log book loans

 

said they would send me the documents stating they own the car

 

they aint having it

 

.bought the car as a suprise for my bf for his bday

 

very stressed over this

[SabreSheep]

do you know that the previous owners address?

 

you could do a small claims action against the seller for the cost of the car.

[theoldrouge]

All the info and useful links are here, keep the car hidden whilst you try to resolve

 

 

Do you have a problem with a Logbook Loan?

 

With Citizens advice estimating that over 60,000 of these loans were taken out in 2014 alone

an increasing number are causing severe difficulty and distress for borrowers.

 

In this guide we explain what a logbook loan is, and how they work. What you can do if you have a repayment problem,and what you can do if you have unknowingly bought a car with a logbook loan attached.

 

Three golden rules for Logbbok Loans

 

1)No matter how desperate you are to purchase a car, or raise cash, NEVER consider this type of Finance

These loans are designed purely for the benefit of the lenders. With APRs of 400+%, little consumer protection, and aggressive debt collectionicon practices

they should be avoided at all costs.

 

2)When purchasing a used car from whatever source,private or trade, ALWAYS do a FULL GENUINE HPI CHECK

costing around £20, these come with a guarantee against any form of existing finance, including lbl's

 

3)If you have any problem with a Logbook Loan, your first step is ALWAYS to check that the Bill Of Sale has been registered with the High Court. You can do this here-

 

to check if registered

 

Contact Details

 

QB Enforcement Section

Room E15-17

Royal Courts of Justice

Strand

London

WC2A 2LL

DX 44450 Strand

 

Telephone: 020 7947 7772

Fax: 0870 324 0024

Email: QBEnforcement@hmcts.gsi.g ov.uk (No Spaces)

 

You may read on the internet that your BOSicon will be void if witnessed by an employee of your lbl lender

 

Since the OFT( as was) lost the attestation case on appeal by 2 to1 this is NOT the case

 

full details here http://www.bailii.org/cgi-bin/markup...method=boolean

 

Logbook loans are a form of credit dating back to the Victorian era, derived from the 1878/1882 Bills Of Sale Acts, with terms and conditions to match in many cases.

 

Problems are manyfold from extortionate charges by lenders for calling a customer, to repossessions where owners have been left at the side of a busy road, unable to get to work, and even sexual harassment via debt collectionicon.

 

Poor practices abound, unsurprising when there is no incentive for lenders to ensure their customers understand the terms or can afford the repayments.

 

In fact the very nature of this form of finance could be seen to encourage bad behaviour – why carry out affordability checks if a single missed payments means you get to keep the money and takeaway the car?

 

How does it work?

 

When you take out a logbook loan you will be asked to hand over your vehicle’s logbook or vehicle registration document, which proves you are the registered keeper of the vehicle.

 

You’ll also have to sign a credit agreement and a form called a ‘bill of sale’. This means the lender now owns your vehicle on a temporary basis but you are still able to use it so long as you meet all loan repayments. These documents are recognised by law in England, Wales and Northern Ireland but are not used in Scotland.

 

The law only recognises a bill of sale if the lender registers it with the High Court. If it’s not registered, the lender must get a court’s approval to repossess your vehicle. You should check if the bill of sale is registered.

 

What you should do if you have a repayment problem

 

1) check your Bill Of Sale is registered as above

 

2) the lender must send you a default notice which complies with the requirements of s87(1)cca1974

allowing you fourteen clear days to remedy any default (which can be after one missed payment)

 

You should , if your lender will not negotiate a reduced payment, straight away on receipt of the default notice look to take out a time order. This gains you the protection of the court, which can look into the overall loan--

 

https://www.nationaldebtline.org/EW/...t/Default.aspx

 

What you can do if you have purchased a car with an existing logbook loan

 

If you receive a letter threatening to repossess the car or an enforcement officer turns up at your home to take it, you may not be able to stop them.

 

 

ask to see proof of their identity and their authorisation to take the car

ask to see the bill of sale document – they have to show you this if you ask for it

if you feel threatened by how an enforcement officer is behaving, call the police

ask for written confirmation of what has been taken

get the contact details for the logbook loan company.

If the lender has taken your car, you can try to get it back and reclaim your money from the seller. However, this can be a costly and time-consuming process and is not guaranteed to succeed.

 

If you want to get the car back, you could pay off the outstanding loan and then take the person who sold you the car to court, to try to get your money back.

 

If you just want to get your money back, you can take the person who sold you the car to court.

 

Always get independent advice before you decide to take someone to court.

 

Some lenders are members of the consumer crediticon Trade Association (CCTA), which has a code of practice covering logbook loans. The code of practice says the lender must register the logbook loan on a register, so it will show up when you carry out a history check on the car. It also says they must obey certain rules when they repossess a car.

 

If you are unhappy with the way a logbook loan lender or its enforcement officers have behaved, find out whether they are a member. If so, you can complain directly to the CCTA. However this code is regularly ignored

 

http://www.ccta.co.uk/content/our-code.aspx

 

Finally both the Financial Conduct Authority and the Law Commission are investigating Logbook Lending

and the associated legislation, full details here--

 

http://www.fca.org.uk/firms/firm-typ.../logbook-loans

 

http://lawcommission.justice.gov.uk/...ls-of-sale.htm

[cupcake girl]

I contacted the log book loan company and said i bought the car in good faith

and have asked them for all the documents stating they own the car

so awaiting what that states

 

 

also i asked for the balance of the last owner debt and its £552 outstanding

 

 

ive now hidden the car as i have paid out on new tyres and £300 on the car so lets see what the document say when they arrive

[renegadeimp]

You need to stay off the phone, keep things in writing and check that the BOS is registered once you get the info.

[cupcake girl]

Just recieved the bos and it was witnessed by the cashier in the loan shop is that legal and i read that if the car is 8 yr old or more its void is this true and what am i looking for on the bos please help

[renegadeimp]

You have to check if its actually registered with the court. Also, i dont think she is allowed to be a witness. But dont quote me on that.

[dx100uk]

the witness issue is no longer one sadly

 

 

dx

[cupcake girl]

The bos has a court stamp on it does that mean it registered and only 2 have signed it cashier and the borrower

[dx100uk]

is the court stamp within 7 days of the agreement take up?

 

 

if so it ok

[cupcake girl]

I cant really make out the date on the stamp very poor copy

[cupcake girl]

The outstanding debt on the car is £552

 

 

i rang citizens advice and they said to ring lbl and make an offer under protest so i can keep the car

 

 

any advice would be greatfull

 

 

cant bloody sleep

 

 

worrying theyll come and take my car

 

 

i cant believe i have to pay someone elses debt

to keep a car i bought off them

 

 

how do people like that sleep at night .

[cupcake girl]

Some news on the logbook loan company

 

i rang police today and said i wanted to repoert fraud

,as i was sold a car and the person who sold me the car fraudently as he had a lbl on it

 

they have reported it also told police that the loan company are threatening to take my car unless i pay £552 on a loan the last car owner had

 

they said i was not to pay a penny and if they try to take the car iam to phone 999 and report a theft they have no right to take the car

[renegadeimp]

If the BOS is registered correctly, they have every right to take it, because they own it.

[theoldrouge]

If no damage caused to private property, they can take it

 

What you can do if you have purchased a car with an existing logbook loan

 

If you receive a letter threatening to repossess the car or an enforcement officer turns up at your home to take it, you may not be able to stop them.

 

 

ask to see proof of their identity and their authorisation to take the car

ask to see the bill of sale document – they have to show you this if you ask for it

if you feel threatened by how an enforcement officer is behaving, call the police

ask for written confirmation of what has been taken

get the contact details for the logbook loan company.

If the lender has taken your car, you can try to get it back and reclaim your money from the seller. However, this can be a costly and time-consuming process and is not guaranteed to succeed.

 

If you want to get the car back, you could pay off the outstanding loan and then take the person who sold you the car to court, to try to get your money back.

 

If you just want to get your money back, you can take the person who sold you the car to court.

 

Always get independent advice before you decide to take someone to court.

[JoeyJoeC]

How did you buy the car? Did you go to the sellers house to buy it? Or did you arrange to meet somewhere else? Do you have their address?

[theoldrouge]

The seller not only defrauded you, he also having signed a BOS, stole the car from the logbook loan co

 

The logbook loan co hold the docs to prove ownership

 

This lack of consumer protection is one of the failings of logbook loans based on Victorian legislation

[cupcake girl]

Yes went to his flat ive rang the phone number no such number and i have his address

[renegadeimp]

Sounds like he's used a friends empty flat, or just had the keys to one while he was looking after it.

[theoldrouge]

You should also check that the name on the registration documents matches the name of the person who signed the BOS

 

On occasions these cars get sold on several times