Quick Car Credit/First Response Finance - faulty car .

[BankFodder]

Yes, we need more information about the type of finance agreement. As my site team colleague has asked – was bought on hire purchase?

What did you pay for the car, what make, model, mileage?

 

Who were the dealers?

[BankFodder]

When was it bought?

[BankFodder]

I don't really understand because looking at the website https://www.quickcarcredit.co.uk/ they simply seem to be organising credit agreements in order to help people buy cars. They aren't the dealer. They don't seem to have a stock of cars. They don't seem to have a showroom

[BankFodder]

How far away from you are they?

Please could you provide a Google link to their address where the cars are stored.

[BankFodder]

So it's not quite clear – but I gather that you bought a car for £6000 using your own car on a part exchange basis for which they gave you £200 – so pretty negligible value.

It appears that in fact the car is worth £1000 less than you bought it – but I'm afraid you won't be able to do anything about that.

It's on hire purchase and that means that the finance company is responsible. Luckily you didn't pay by cash or paid by bank transfer so this will be helpful because this company is regulated by the FCA and that means that you have a certain amount of protection.
Also it means that in extremis, you have protection under the Consumer Credit Act. You say that you've been to various solicitors but I don't understand what their response has been.

I understand that the car works but you have been advised not to drive it because there is potentially an oil problem and to drive it could risk causing damage to the engine. Is this correct?

Who is it who told you not to drive it?

Also, you are talking about a company called First Response. What have they got to do with it?

[BankFodder]

Thank you but you aren't telling us who First Response are and what their involvement is.

Have you got anything in writing from any of those organisations/garages that have seen the symptoms of the problem and advise you not to drive?

[BankFodder]

I still don't understand the relationship between First Response and Quick Car Credit who I had understood were providing the finance in addition to the car.

Also, they apparently say that it is out of warranty with themselves – but what do you know about the warranty? Was it a three month warranty or 12 month warranty? (Not that it is very significant because you are protected by your statutory rights).

Which garages it which is providing you with this report? It sounds as if it would be very helpful to you.

Please can you post up the RAC report in PDF format.

 

Also I asked you about the solicitors – and you haven't addressed that question.

[BankFodder]

I also asked you which garage it is which is providing you with a report which you are meant to be collecting tomorrow. You haven't addressed this either.

He will be very helpful if you would tend to respond to the questions that are put to you because otherwise it's a bit like pulling teeth

[BankFodder]

Thank you. When you get the report, please post it up here in PDF format.

A couple more questions – what date directly take delivery of the car?

I understand from the date on the RAC report they went wrong on 23 June.

It looks as if you may just have missed out on the Consumer Rights Act six months right to reject rule. This is not a problem although it would have made things slightly simpler.

When did you actually take delivery of the car?

Also, have you got a copy of this warranty document? Was it supplied as part of the deal or did you buy additionally?

[BankFodder]

Thank you. Not that we would rely on the warranty – but it's not very useful. Maximum repair limit of £300 – with their in excess of £25 so that it means you're covered for £275 per repair.

It's basically a fop and you have been fobbed off and of course it's a shame that you didn't find a couple of days earlier because we could have beaten the six month limit.

Had you asserted your statutory rights within the first six months, then you would not have needed to prove that there was any fault and they would have been obliged either to attempt to repair or failing that, to give you a refund.

I'm afraid that you've exceeded the six months by a single day and I'm sure that they will understand their rights better than you have understood yours.
 

I think it's extremely unfair because I'm sure they know exactly what they are doing and frankly I think that they had a fiduciary duty to inform you of your rights and to take ownership of the problem.

Now it is down to you to establish that there is a fault.

However, I don't think it falls upon your shoulders to identify what the particular fault is. Simply that there is a fault and that is sufficient.

For £6000, you are entitled to purchase a vehicle that is of satisfactory quality and which will remain that way for a reasonable period of time. It seems to me that a vehicle that becomes an driveable within six months fails that test of satisfactory quality in the eyes of a reasonable person and therefore the dealers are in breach of contract.

Don't expect them to be pleased about that or to be cooperative.

Let us know what the garage says tomorrow and then we can advise you.

However I can tell you now that based on the apparent attitude of this garage and the way that it has all been handled by them, I expect that you will have at least to issue a County Court claim and maybe even go through to a hearing.

So for the rest of today and tomorrow if you have time start looking at this forum at the steps involved taking a small claim in the County Court. It's pretty easy but it's worth knowing the steps in advance so that you are confident about what you are doing.
We will help you all the way but make sure that you have the mindset to do it because you will be doing it yourself even though we will support you very closely in terms of preparing your documents and proposing suitable arguments to you.

Let us know what the garage says tomorrow

[BankFodder]

Well I'm sorry is been so difficult for you – and with the children I'm sure that it is extra special.

We have built up a reasonable picture of what is happening and your position. Once we see the next garage report then will be able to give you a suggested plan of attack which will help to make you feel that you are back in control and hopefully that will relieve your stress levels.

I think it will be a good idea to send the dealers an SAR. You never know what might turn up – and you never know, they may not even respond properly within the 30 days and that will give you an extra string to your bow which we will be quick to exploit.

[BankFodder]

Both of them. It's all free and you never know what you get.

[BankFodder]

I'm going to tell you that I'm still lost as to who provided hire purchase and who actually supplied the car.

Anyway, although they won't like it I think you may as well send them both an email right now so that it has today's date.

 

Quote

Dear Sir/Mdm

Reference number XXX - notice of rejection of motor vehicle registration number XXX under the Consumer Rights Act 2015.

As you know, I purchased the above vehicle on XXX date and it was delivered by you to my address on 26 November 2020.

Also as you know, the car developed serious faults on XXX date 2021 and you were informed of this on XXX date 2021.

I am confirming to you that as these faults occurred within the first six months of date of my ownership of the vehicle, that I am exercising my final right to reject the vehicle. As you are an experienced dealer and finance company, I'm sure that you understand what this means.

When I originally contacted you about this, you informed me that it was my duty to ascertain the full nature of the fault and I understood that a diagnosis would cost about £500.

We both fully understand that not only are you extremely experienced in the car trade, but that also you are regulated by the FCA. In the circumstances, I don't think that it was unreasonable for me to rely upon you and what you told me on the phone and I find that it was disingenuous that you opted not to inform me that I had certain rights under the Consumer Rights Act 2015.

I have since taken advice and I understand that it is not my duty to identify the actual fault, simply to identify that a fault exists and that it is serious enough to mean that the car is not satisfactory quality.

I understand that under the 2015 Act, you are entitled to a single opportunity to repair the vehicle after which you are obliged to refund me less a pro rata sum to represent the use I have had out of the vehicle.

You have already been made fully aware of the problems but for the avoidance of doubt I am enclosing an RAC report which includes a recommendation that the car must not be driven in order to avoid more serious damage.

Please will you let me know by return what steps you intend to take to put the necessary repairs into effect or else let me know that you prefer to recover the vehicle and to reimburse me.

 

Yours faithfully

 

 

Please check this email above. Let me know if there's anything that is wrong or anything you want to add and once we agree, you should send off to their email address today so that it has today's date on it so that we can say that you have acted very quickly.

Of course they will make a song and dance about it on the basis that you have exceeded the six month by one day – but we will rely on the fact that they were informed of the serious fault within the six months.
We won't only be relying on this email – but it will help.

[BankFodder]

So if this is a hire purchase agreement, then your contract is with First Response and all legal actions will be against them. They are effectively the owners of the car and they bought it from quick car it and then sold it to you.

[BankFodder]

Send it to both. There's nothing to lose.

[BankFodder]

Yes they are right about the length of time. I miscalculated.

Sorry

Let's know what the garage diagnosis says today.

Meanwhile, send them a letter:

Quote

Thank you for your response. I agree that I miscalculated then that it is seven months not six months.

However, I disagree that the consumer rights act requires that I identify the actual fault. It is clear that the requirement is that the car is a satisfactory quality and remain that way for a reasonable period of time.

As the car does not work and I have had it for only about seven months, no reasonable person would expect that a car which cost £6000, would become unusable after seven months.

I hope I don't need to point out but that if it been advertised that it would last seven months before it stopped working and needed at least a £500 diagnosis before any repair, nobody would have bought it.

I think this is quite sufficient test of "satisfactory quality for a reasonable period of time".

 

 

[BankFodder]

Let me also say, that although I don't think it's necessary to identify the actual fault, it would be helpful if you did. Is there no way that you can get the car diagnosed. £500 seems an awful lot of money. Have you had a quote for this? £500 would suggest about 10 hours of work simply exploring the issue.

And incidentally when they did find the fault, you would be able to recover any money spent from the finance company

[BankFodder]

Please ask them to let you know what the expected life expectancy in terms of mileage would be of the pressure pump and also the cost of replacing it.

[BankFodder]

Quote

I'm sorry but you are quite wrong.

"Satisfactory quality" is measured according to the expectations of a reasonable person and no reasonable person would expect a car of £6000 to be of satisfactory quality on the day that was sold and then not remain that way for a reasonable period of time afterwards.

If this is the basis upon which you intend to try and avoid your statutory obligations, then you will be leading us into litigation and you will lose.

 

 

Send that

[BankFodder]

I suggest that you send a copy to First Response. Ask them if they are now going to accept that the car is not of satisfactory quality and organise its collection and your reimbursement with the appropriate pro rata deduction.

Tell them that if they refuse then they should treat this letter as your letter of claim and that you will be starting a County Court action after 14 days and without any further notice.

You need to make sure that you understand the steps in taking this action.

Also, you should be aware of the fees that you will have to pay because you say that you are extremely short of money but am afraid that to bring the action there are some basic fees to be met which you will get back if you win.

I estimate the your chances of winning are extremely high – better than 90%.

I can imagine that once they realise that you are serious and you have begun a legal action, that they will put their hands up and try to sort something out as a gesture of goodwill. However this is not guaranteed and you should every decision should be taken on the basis that this will end up as a contested hearing in court

[BankFodder]

Quote

I have now had the vehicle examined by XXX garage who carried out a thorough and detailed investigation.

I attach a copy of the report to this email.

It is clear that the car has serious faults and in fact the garage has suggested that it may even be an economic write off in view of the likely cost of repairs.

Clearly the vehicle is not a satisfactory quality and as such it has been some to me in breach of the requirements of the consumer rights act.

Please let me know what arrangements you propose to make to recover the vehicle and to make a pro rata reimbursement of the price of the vehicle. I will of course need to understand the basis on which you calculate the reimbursement.

If you will not recover the vehicle and reimburse me as requested above then please take this letter as my letter of claim and formal notice to you that I shall begin an action in the County Court at the end of 14 days and without any further notice

 

[BankFodder]

I'm afraid that the court fees for a claim of this value are £455 – claim fee.

If it goes to a hearing then there is a further £335.

These costs are recoverable in the event that you win.

It is entirely possible that First Response decide to test your resolve by seeing whether you are prepared to invest the money in issuing the claim.

Where is the car now?

If it is returned to you, do you have offstreet storage?

[BankFodder]

I suppose that the garage are going to put under pressure to remove it.

Can you tell me what expenses you incurred so far in relation to this vehicle since you purchased it.

[BankFodder]

What about tax and insurance?

Also, how did the car get to the garage?

[BankFodder]

Well I think that if it isn't sorted by your 14 day deadline, then we will start adding these extra sums as heads of damage as well.

Let's see if you get a response from them today or tomorrow and then we will give them notice about these forthcoming charges.

If the car has to be brought back to you, you won't be able to drive it back so it will have to be transported and I expect there will be a fee for that. We better see what that is going to be and am afraid that you will have to pay it and we will put First Response on notice in advance.

We will also offer an opportunity to First Response to carry out the recovery themselves directly from the garage so they don't incur extra costs.

It's important to let them know at every step of the way – and in advance – what charges might be incurred and which you will eventually be claiming back from them.

Also, we will claim interest on the refund and all other expenses which is currently awarded at 8% per annum.

What we will have to understand is what would be a reasonable pro rata deduction. If the insurer agrees to give you refund, then you can be certain that they will try to shake you down on the amount of money they are offering back. We will have to get ready for that as well.

I think it would be worth your while looking around the Internet, see what the life expectancy of these cars are in terms of mileage and then we will have to try and calculate what percentage of your £6000 purchase price you have actually used up.

For instance, if you expected to have the car for six years at say, 12,000 miles per year – and you have done 6000 miles, then you have had about 7% of the value of your car. Of course at the end of that they would still be a resale value – but on the other hand you would probably have incurred servicing/repair costs so maybe we could say that your maintenance costs would equal the resale value – which might have been £2500. So is a rough guess it might be reasonable to think that your reimbursement should be about 90% of your purchase price.

In other words about £5400 plus the cost which you will have incurred commencing the end of the 14 day notice period.

Does this make sense? I'm doing these calculations on the fly.

You can be certain that First Response will have a completely different figure in mind and it wouldn't surprise me if they offered you £4000 – which of course you will refuse.

We'll see