Doc Holliday Posted March 29, 2010 Report Share Posted March 29, 2010 Just had a letter from my vehicle lease company saying thatthey will be deducting £375.86 plus VAT for a Secondary rental period. This was never drawn to my attention at the time of signing the contract. The credit terms I agreed to was for a set monthly payment for 36 months and a final balloon payment. On paying the final balloon payment last November I received a letter saying that if I sold the vehicle then I'd owe them 2% of the sale price. I remember thinking then "What a bunch of capitalist, communist, ramming ********!" Anyway, I'm just in the process of looking for the paperwork but my question is... Can they really do this? I mean, if it was in the small print surely they have a duty to inform you of ALL costs & that this will be the case at the end of the term. Quote Link to comment Share on other sites More sharing options...
pegasus bridge Posted March 29, 2010 Report Share Posted March 29, 2010 is it a private or business lease? Quote Link to comment Share on other sites More sharing options...
Doc Holliday Posted March 29, 2010 Author Report Share Posted March 29, 2010 Business lease. Sorry, should have said. Quote Link to comment Share on other sites More sharing options...
Dr W Posted March 29, 2010 Report Share Posted March 29, 2010 Surely if you've paid the balloon payment the car is now yours? How long does the 2% of the sale price thing last? There must be a length of time stipulated? Was it worth paying the balloon payment? I thought a lot of cars could be bought for less than the final balloon payment? Quote Link to comment Share on other sites More sharing options...
Doc Holliday Posted March 29, 2010 Author Report Share Posted March 29, 2010 The balloon payment was pretty good. I've just found the quotation/order which has my signature on it and they mention the 2% there which is fair enough but no mention of a secondary term. Still going through the paperwork to find the actual contract. I mean, is it standard practice with business or even personal vehicle contacts for a secondary term? And has anyone else fallen foul of this? Quote Link to comment Share on other sites More sharing options...
pegasus bridge Posted March 29, 2010 Report Share Posted March 29, 2010 The balloon payment was pretty good. I've just found the quotation/order which has my signature on it and they mention the 2% there which is fair enough but no mention of a secondary term. Still going through the paperwork to find the actual contract. I mean, is it standard practice with business or even personal vehicle contacts for a secondary term? And has anyone else fallen foul of this? what does the 'secondary term' refer to ? (ie which period of time are they attempting to charge for) Quote Link to comment Share on other sites More sharing options...
Doc Holliday Posted March 29, 2010 Author Report Share Posted March 29, 2010 Apparently, it's for each yearly term after the end of the initial contract payable in advance. Thing is, the balloon payment was back at the start of November last year. Not sure why they're sending this through now. Quote Link to comment Share on other sites More sharing options...
al4x Posted March 29, 2010 Report Share Posted March 29, 2010 firstly I'd make sure your bank has instructions not to pay it, I take it you have sold the vehicle? and that has come to their attention if so I'd be wanting a copy of the signed crontract from them with your print on it before entering any further conversation with them Quote Link to comment Share on other sites More sharing options...
Doc Holliday Posted March 29, 2010 Author Report Share Posted March 29, 2010 Thanks Al4x. Already phoned the bank and cancelled/blocked any payment to them. Just done a letter to them telling them what I havedone and should they want to enter into any further correspondence then they will have to send me a copy of the contract with my John Hancock/Moniker on it. The van wasn't sold as I still haveit. Been trying t odecide between getting a new one (Transporter) or going completely neauveax with a Disco 4 commercial which it has less room. At this rate I won't bother going into another contract. Quote Link to comment Share on other sites More sharing options...
al4x Posted March 29, 2010 Report Share Posted March 29, 2010 in my experience of van leasing its a minefield, we have had a fair few and by the time extra charges come in I've never quite been able to work out if we're better off or not. It does save putting money up front and means you can have a new vehicle every 3 years but its not that cheap Quote Link to comment Share on other sites More sharing options...
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