Seat Finance, 4 hour contract.

[starling]

My daughter has got into a bit of bother.

 

 

When she was 19, now 21,

she took out finance on a car through Seat

 

 

within the year it was repossessed

 

 

now has £4,116 to pay back and less than 7 days to do it.

 

 

What I need to know is how could they give finance to a teenager with a 4 hour work contract?

 

Where do we stand on this?

[dx100uk]

you could try the irresponsible lending route

[starling]

Thank you for your reply.

 

 

The latest letter she had said she has 7 days to contact them to make arrangements to pay the debt in 4 monthly instalments or they will go to court.

 

 

She has no money to speak of so can't do that.

 

 

When she took out the loan she was getting a full weeks work

and they looked at that as proof she could afford to pay but didn't consider she was only on a 4 hour contract.

 

 

She now only works 4 hours a week and gets around £120 a month.

 

 

She can't even afford her phone contract.

[mch1991]

Irresponsible lending for sure, especially to someone who's barely old enough to take out credit.

 

To be honest even if she was taken to court, it's not a terrible thing, I'm sure a judge would not be happy to see their conduct.

 

A judgment against her would give her the opportunity to pay what she can afford each month determined by a court, so again, not a terrible thing.

 

Credit wise, a CCJ means she'll struggle to get any kind of credit for 6 years, even a basic phone contract. Various employment sectors will be a no no, as would private renting.

 

I fail to see how 7 days is sufficient notice of legal proceedings under the practice direction on pre-action conduct.

[starling]

I think she has probably had other letters but has only just told me.

[dx100uk]

who is behind seat finance?

 

 

time for a strongly worded letter

 

 

I bet she got spoofed into voluntary surrender to with all its repo fees

and then leaves her owing the full finance amount.

 

 

dx

[starling]

The car was repossessed from outside our house. The original cost was around £11 thousand. She has to pay back what is left after resale at auction and the payments she made, plus handling charges from the repossession.

[dx100uk]

exactly she got done over.

 

 

IR is the route to take

 

 

get it all wiped.

 

 

dx

[dx100uk]

http://www.fca.org.uk/search?collection=FCA-Meta&query=irresponsible+lending&=

[starling]

Thank you for the link. How do I go about achieving the goal? Not really up to speed with this kind of thing and there are lots of pages on the link.

[starling]

I've contacted the ombudsman and they are writing to them. They have 8 weeks to investigate and if we don't like their decision we can then take it up with the ombudsman to investigate.

[dx100uk]

good well done

 

 

in the meantime ignore them or simply tell them you have involved the omb

 

 

nothing more

[starling]

Thank you for the help. I will indeed ignore them from now on.