New EU Consumer Credit Directive Affects New & Used Car Deliveries
Sunday, 5. September 2010
If you are about to finance a car in your own name as opposed to through a business, you will need to allow a little extra time between ordering, signing the finance agreement and collection/delivery of the new car. According to the new EU Consumer Credit Directive all agreements that fall within the terms of our own Consumer Credit Act must be given a 14 day cooling off period. In the past, if you signed the agreement on trade premises, for example at a dealership or the premises of a broker holding the relevant Consumer Credit Licence, there was no cooling off period which meant you could have your car there and then. In some cases, even when the agreement wasn’t signed on trade premises, the funder would allow the driver to take the car immediately as long as he signed a waiver that said he waived his rights under the 14 day cooling off rule. But that is changing and already funders are insisting that every consumer or small business signing an agreement for a car is forced to take the 14 day cooling off period so to be on the safe side, whilst the EU directive is going through the transition stage please allow an extra 14 days for delivery of the car, there is no way round I’m afraid. By Graham Hill
