Advice - car dealer's cheque for tax has bounced
Advice - car dealer's cheque for tax has bounced
Author
Discussion

Hyperen

Original Poster:

51 posts

177 months

Thursday 19th January 2012
quotequote all
Hi all, I recently purchased a second hand car from a dealer. As it was untaxed I agreed to pay an extra £118.25 for 6 months road tax. During paying for and collecting the car I was told this has been sorted and indeed there was a fresh tax disc on the windscreen so I thought no more of it.

I received the logbook a few days ago and a couple of days after a letter from the Post Office came through the door stating that the cheque used to pay for the tax disc had been returned unpaid. After phoning the dealer twice I have been told they will investigate but am starting to suspect they are just fobbing me off with excuses after not contacting me back when agreed.

The letter from the Post Office says I have 7 days to pay the £118.25 or they will void the license and I will have committed an offence by using the vehicle. The letter says I can supply them with the details of those who bought the tax disc. However I need the vehicle daily for work and don't want to have any worries about the paperwork.

Should I pay the money myself to the Post Office and try to get it back from the dealer or refer them to the dealer?

davepoth

29,395 posts

220 months

Thursday 19th January 2012
quotequote all
What exactly does the letter say? Obviously it shouldn't be your problem.

Hyperen

Original Poster:

51 posts

177 months

Thursday 19th January 2012
quotequote all
The letter from the Post Office says that the application for a vehicle excise license (tax disc) for my vehicle has had the cheque that was submitted (by the dealer) returned unpaid.

Their records show that I am the keeper of the vehicle and that if I am in possession of the tax disc I should send them payment within 7 days. If payment is not received they will take action to void the tax and in such circumstances I will have committed an offence if the vehicle has been used or kept by me (which it has) and that I will be liable to a fine of £1000 or 5 times the annual duty rate (whichever greater).

It says I can return a form to them stating who submitted the application on my behalf which I think I should do but I am concerned that if they can't arrange payment from the dealer that they will void the tax leaving me committing an offence and liable to a fine etc.

I really don't want to be driving around with the thought in the back of my mind that my tax (and therefore insurance?) might be void.

AtticusFinch

28,430 posts

204 months

Thursday 19th January 2012
quotequote all
Pay it. Then go and knock on dealers door.

Gruber

6,313 posts

235 months

Thursday 19th January 2012
quotequote all
As above, pay up, send in the form as well, and go and see the dealer. If the dealer doesn't pay up, write him a stiff letter threatening to sue for the cost of the tax and threatening to inform trading standards etc etc.