I’m sorry to say that I think you’re going to struggle with this.
Firstly, there is nothing in the agreement which says that you can extend.
There is a letter dated 29 February 2016 which is not an offer as such but invites you to telephone.
You telephoned and came to some kind of agreement over the telephone but that is not in writing anywhere it seems. I think you would struggle to enforce that extra time based upon the evidence you’ve given me.
The lease is to a limited company and therefore doesn’t come under the provisions of the Consumer Credit Act.
The agreement quite clearly says, in quite Draconian terms, but if you miss any payments, (7.3) you are repudiating the agreement and don’t want to continue.
The 7.1.1 it says that they can terminate the agreement if you fail to make any rental payment on time.
It does say however that they can terminate it by giving written notice and, from what you have said, they have not done that. Hence, by taking the car back without that notice, they are in breach of the agreement as indeed you are.
The problem that you have here is that you cannot beat them with a stick until they give you the car back and if they don’t get the car back and reinstate it for another year, then your only recourse is to take them to court. It is most unlikely that if there are arrears on the account (1 month or 3 month) that the court would order them to reinstate the agreement. It would be different if there were no arrears.
Even so, court proceedings are not going to be quick or cheap and if you’re lost, you could easily be paying between £5000 and £10,000 in court costs.
Volkswagen Financial Services (UK) Ltd is authorised and regulated by the Financial Conduct Authority and registered under number 311988. Whilst the agreement is not regulated under the terms of the Consumer Credit Act for the reasons I mentioned earlier, VFS and therefore they have to treat customers fairly.
I think the only recourse that you would have would be to make a complaint to the Financial Ombudsman Service but that’s not going to be quick although it is free. In all honesty, I still don’t think that they’re going to uphold your complaint quite simply because of the arrears although it depends on the view they take on the non-giving of notice. Don’t be surprised if they come up with a copy which they alleged to have popped in the post.
I’m sorry, I wish I could give you better news but based upon what you have shown me, that’s my opinion.
Does that answer the question even though it’s not the answer you wanted?
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