Golf 160 GT - Lease Company - rights and wrongs

Honest John Back Room » Legal matters
What is life like with your car? Let us know and win £500 in John Lewis vouchers | No thanks
View Threaded
Mon 4 Apr 2011 14:49
Golf 160 GT - Lease Company - rights and wrongs - zango

Hi,

My lease car has broken down on three separate occassions now. The net result is that it has been off the road for a total of 42 days and it is not yet 2 years old.

For two of the breakdowns I phoned the emergency assistance number on the lease card that they sent me. The lease company has subsequently tried to charge me for these two RAC call- outs, plus a new coil pack (1st time) and 2 days car hire (2nd time).

They waived the call out fee and hire car charge (for the 2nd time) when I complained.

They recently sent me an invoice for the 1st time - now some 3 months ago. I wrote to them and told them that this was not a valid charge but received no reply. However, they still took this money via the existing direct debit authority (for the lease payments). I immediately wrote to them (also attempting to reject the car as being unfit for purpose) and got a refund from the bank under the direct debit guarantee scheme. Once again I did not get a reply.

The car is on a 3 year, non maintenance lease. The payment schedule is 6 + 30 so for the last 6 months there are no payments.

Am I entitled to stop the last lease payments to recover the lost 42 days? It is impossible to get a refund via any other method if they won't reply.

Reply | Report as offensive | Link
Tue 5 Apr 2011 06:13
Golf 160 GT - Lease Company - rights and wrongs - LucyBC

Your lease is a financial agreement. You cannot just stop paying it if you are in dispute. You have to resolve it through agreement or the complaints procedure. If you want me to look at methods to resolve this I will need more information. Please write to me at asklucy@honestjohn.co.uk so I can deal with your case in more detail.

Reply | Report as offensive | Link
Tue 5 Apr 2011 14:27
Golf 160 GT - Lease Company - rights and wrongs - zango

Thanks for the offer Lucy, I will write to you shortly.

To answer the other questions, the breakdowns occured in years 1-2 therefore the manufacturers warranty is in force but you are responsible for getting the car to the dealers for the repair work.

The lease company use the RAC as their first line response. Therefore all problem or assistance calls are answered by the RAC rather than the lease company. The RAC have to attend before you get access to any of the additional services. The RAC have access to the lease company data base so have full details of the vehicle and the lease arrangements - including maintenance / non maintenance etc. The RAC must charge the lease company for this service.

My problem is that the lease company are attempting to recover this cost from the leasee. This is clearly unfair because;

1. This is the only method of reporting a fault with the lease car.

2. Your contract is with the lease company, not the manufacturer or the RAC and therefore you should be able to deal with them directly.

3. The lease agreement does not state that you are responsible for breakdown costs.

4. Provision of a serviceable vehicle is a pre-requisite for a binding lease contract.

Cheers Pete

Reply | Report as offensive | Link
Tue 5 Apr 2011 10:02
Golf 160 GT - Lease Company - rights and wrongs - bonzo dog

Hi Zango, you have my sympathy on the breakdowns - infuriating, time consuming & costly.

Although I'm a bit puzzled about the RAC situation. Most new cars these days come with 12 months recovery (RAC / AA / etc), although a small handful do come with longer term cover.

After the recovery policy expiry (assuming it is only 12 months) you would need to make your own arrangements - either a renewal of the manufacturer supplied policy or take out your own personal membership with a similar organisation.

What duration recovery policy was your car supplied with?

Edited by bonzo dog on 05/04/2011 at 10:04

Reply | Report as offensive | Link

We give you the low down on how to save on insurance, little-known tricks and tips, what insurance groups mean and how to use insurance aggregators to beat insurers.

Insurance group finder and how to save on insurance

A guide to how much VED you will need to pay on your car.

Road Tax Bands and Rates