14 day cancellation rights

Author
Discussion

JustinP1

13,330 posts

229 months

Friday 4th September 2015
quotequote all
Just to add something into the mix here, this is not uncommon.

When we leased a car 18 months ago we chose a car that was available for 'immediate delivery' as we were selling our car and needed the new one, well, immediately.

However, when it came down the line to arrange that, I was told that if I were to sign the forms at home they would wait 14 days, otherwise I could simply reject the whole thing.

The only way around was apparently to drive to their offices to sign the form.

As it happened, I was annoyed, posted the forms as I could't get to them, and we found a better deal a week later. So we exercised our right to cancel on them. smile

AOK

Original Poster:

2,297 posts

165 months

Friday 4th September 2015
quotequote all
Just heard back from them and they have managed to sort it so I'm taking delivery smile


AOK

Original Poster:

2,297 posts

165 months

Friday 4th September 2015
quotequote all
TVR1 said:
More to the point, if it is a PCH agreement, you have no option to purchase thecar at the end anyway. From what you say about how the car is being registered, you are not entering into a PCP that has an option to own and should be registered in your name and address from the start.

did you not sign an AFRL form before the car was registered? If not, it further indicates a PCH.

Edited by TVR1 on Thursday 3rd September 23:41
It has an APR and an optional final payment so I think it's probably a PCP. But for whatever reason the car is registered as:

Mr Customer
c/o Finance Company
Finance Company address
Finance Company postcode

The AFRL/COR now confirms this

R1 Indy

4,381 posts

182 months

Friday 4th September 2015
quotequote all
I organised a meeting a little while ago with my local trading standards officer, as I was interested how this cooling off period effects my business.

I was told the best option was to allow 14 days after agreeing to a contract for work before completing the work.

Otherwise I could get the customer to sign an agreement to waive there 14 day cancelation right.

Or the safest option to visit customer, then email a quote a little while later, this then does not come under distance selling, however if I where to quote at a customers premises it is then distance selling!! (All aimed at those pesky pushy double glazing chaps!)


However my business is mainly a service, rather than product, so makes things a bit different, (and don't want to carry out a service, for a customer to decide they want a refund leaving me out of pocket!)


JustinP1

13,330 posts

229 months

Friday 4th September 2015
quotequote all
R1 Indy said:
Otherwise I could get the customer to sign an agreement to waive there 14 day cancelation right.
I would get independent advice about that!

TVR1

5,460 posts

224 months

Friday 4th September 2015
quotequote all
AOK said:
TVR1 said:
More to the point, if it is a PCH agreement, you have no option to purchase thecar at the end anyway. From what you say about how the car is being registered, you are not entering into a PCP that has an option to own and should be registered in your name and address from the start.

did you not sign an AFRL form before the car was registered? If not, it further indicates a PCH.

Edited by TVR1 on Thursday 3rd September 23:41
It has an APR and an optional final payment so I think it's probably a PCP. But for whatever reason the car is registered as:

Mr Customer
c/o Finance Company
Finance Company address
Finance Company postcode

The AFRL/COR now confirms this
Ok, you wouldn't have an APR if it was a PCH. However, I can't think why the car would be registered c/o the finance company. I've been doing this for quite a while and I really can't think of a sensible reason to register the car this way. Unless it's a slightly 'shotgun' finance co and they want to hold onto the logbook? It's simply not done this way. Very odd.

One thing I would point out though is if you are only sure it's 'probably' a PCP- you either haven't had it explained correctly or you haven't been given a finance disclosure form to confirm. If you really aren't 100% sure what you are signing, for goodness sake, don't sign! If you don't want to question it with the dealer feel free to PM your 'pre-contract' information (you e been given a copy I assume?) and I'll give it the once over.

Edited by TVR1 on Friday 4th September 21:58

elanfan

5,516 posts

226 months

Saturday 5th September 2015
quotequote all
Don't see the advantage of this from finance co's perspective. Surely all op needs to do is a change of address once he has the vehicle. The finance co could not stop it and wouldn't be told either.

Doesn't affect who owns the vehicle anyway!

johnfm

13,668 posts

249 months

Saturday 5th September 2015
quotequote all
TVR1 said:
johnfm said:
You can totally see how they are trying to defraud a customer and avoid their legal obligations?

You don't need ANY reason, ridiculous or otherwise, to exercise your right to cancel a distance or off premises contract (for those goods that are included in the regs). Businesses know the risks and if they sell over the hone or away form their premises they just need to suck it up and carry the risk of cancellation.

I'd run away from any dodgy company trying to tell me that the cooling off period expires before delivery - they're dodgy.
The off premises contract rules changed quite a while ago BTW. Primarily because the old regulated/unregulated agreement rules changed dramatically after SECCE rules came in in 2011. And as posted above, the finance cooling off period WILL expire before delivery-the dar cooling off period won't. Although, i agree, thats a VERY naughty way of doing things. Starter for 10.....

Do you understand why the supplyer is not letting the OP take delivery before the 14 days?



Edited by TVR1 on Friday 4th September 00:07
Your point applies to the finance agreement.

I am aware the old distance regs were replaced with The Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 . I think they'll all get rolled into the new 2015 regulations about to come into force.

Wasn't clear initially from the OP that the letter regarding cooling off only applied to the finance.

I can only assume the sales contract for the car (not the finance) was concluded on premises.



Edited by johnfm on Saturday 5th September 10:54

Mandalore

4,165 posts

112 months

Monday 7th September 2015
quotequote all
I am not sure cooling off and cancellation are truly the same thing - unless things have changed?

When I started my first job, they had 7 days cooling off or 14 days cancellation for investments.

'Cooling off' held everything in limbo for 7 days and only then went ahead.

14 days 'cancellation' came along and the process started from day one, but you had 14 days to change your mind.

Sheepshanks

32,530 posts

118 months

Monday 7th September 2015
quotequote all
AOK said:
It has an APR and an optional final payment so I think it's probably a PCP. But for whatever reason the car is registered as:

Mr Customer
c/o Finance Company
Finance Company address
Finance Company postcode

The AFRL/COR now confirms this
It's a bit odd that you don't know whether it's PCH or PCP - maybe it's just an example of why it's unwise for lay people (in any field) to use acronyms?

I don't get the bit about it being registered to the finance company either - we picked a car up that's on a PCP (for a few days) with VW and the car is registered to me. That said, I had a "discussion" with the sales guy (10yrs MB & VW experience) who was adamant that I owned the car. rolleyes

You might have an issue with your insurance company if the car is registered to a finance house and because the address is different.

Sheepshanks

32,530 posts

118 months

Monday 7th September 2015
quotequote all
Mandalore said:
I am not sure cooling off and cancellation are truly the same thing - unless things have changed?
I know on ours, we did sign in advance but the agreement starts on the day we took delivery and we then have 14 days to withdraw from the credit agreement - but we (obviously) have to pay for the car.

I would guess (but don't know for sure) that if the whole thing was done at a distance then the right to reject the car itself would still apply? But maybe it's considered that the customer is the finance company, and not the buyer.


johnfm

13,668 posts

249 months

Tuesday 8th September 2015
quotequote all
Sheepshanks said:
Mandalore said:
I am not sure cooling off and cancellation are truly the same thing - unless things have changed?
I know on ours, we did sign in advance but the agreement starts on the day we took delivery and we then have 14 days to withdraw from the credit agreement - but we (obviously) have to pay for the car.

I would guess (but don't know for sure) that if the whole thing was done at a distance then the right to reject the car itself would still apply? But maybe it's considered that the customer is the finance company, and not the buyer.
Cancellation right applies to any sale contract (biz to consumer) made off premises or distance sale. In addition any auxiliary contracts (insurance, finance etc) must also be cancellable up to 14 days after either delivery or the date from which the consumer has been informed of the right to cancel.

It is a tricky one for those who sell cars online/ebay etc - as your customer has 14 days to change his mind. if you neglect to give them the proper right to cancel notice, they will have that right for 12 months and 14 days after the sale.

johnfm

13,668 posts

249 months

Tuesday 8th September 2015
quotequote all
Mandalore said:
I am not sure cooling off and cancellation are truly the same thing - unless things have changed?

When I started my first job, they had 7 days cooling off or 14 days cancellation for investments.

'Cooling off' held everything in limbo for 7 days and only then went ahead.

14 days 'cancellation' came along and the process started from day one, but you had 14 days to change your mind.
It depends if you are talking about regulated finance agreements or contracts for the sale of goods or services.

Mojooo

12,668 posts

179 months

Tuesday 8th September 2015
quotequote all
It may also be worth pointing out things like PCP and PCH dont really mean much - the type of sale as legally defined matters which is

cash sale
hire purchase
conditional sale
hire

PCP/PCH etc are descriptions of things that will fall into one of the above.

the type of sale it is will define was cancellation you have.

it is legit to make you wait 14 days for a hire agreement as it is 14 days for you to consider whetehr the HIRE was the right type of finance for you - not to consider whether the car is right for you 9assuming it was agreed in the business premises)