Consumer Rights Act – Confusion Over Rejection

Thursday, 1. June 2017

Hi, Graham Hill here, thank you so much for visiting my blog, I hope you learn a lot and as a result end up driving a great car. In order to do so you can get all the information you need by buying my book, An Insider Guide To Car Finance or use me to finance your next car. Happy driving.

The Financial Ombudsman Service (FOS) has issued a notice regarding rights under the Consumer Rights Act 2015 vs Distance Selling Regulations. Consumers taking cars on finance are confusing the two and looking to reject the car they have just taken delivery of simply because they don’t like it. The distance selling rules allow you 14 days from receipt to reject anything you haven’t seen i.e. goods you have ordered on line.


You don’t need a reason to reject, you can simply return and get your money back. In the case of the Consumer Rights Act you have 30 days to reject the goods, i.e. a new or used car in our case, but there must be a problem. It must have something more than a minor fault, be not as described or not be fit for purpose for a rejection under the Consumer Rights Act.


You can still allow the dealer to put right the fault but it is your decision and if he doesn’t repair the fault you can still reject the car at a later date. But you can’t simply return the car because you don’t like the shape any more or you’ve gone off the interior colour. It seems that the FOS are receiving complaints from consumers because the dealer won’t take the car back because confused consumers think they can reject the car for no reason as they can under distance selling rules.


Having said that there are far too many dealers refusing to accept car rejections for absolutely genuine reasons as they will lose money as a result. Many feel the law isn’t working and I have proof that it isn’t from disgruntled customers – not mine I hasten to add. So it’s a good reason to make sure you have a professional independent broker working on your behalf when buying or leasing a new car in particular. That’s my plug over! By Graham Hill

Graham Hill Reveals The Power Of The Unfair Trading Regulations

Friday, 11. March 2016

In a recent newsletter I promised to reveal the power of some regulations that few consumers are aware of and many providers of goods to consumers abuse. They are called the Unfair Trading Regulations (2008). They regulates 5 main categories of potential unfair business practices. Additionally in 2014 amendments were made to the regulations that gave consumers greater rights of redress.
More specifically if the consumer was the subject of misleading action, i.e. if a false statement was made by the seller or if he used aggressive selling techniques, he was entitled to take the following action: 1. Undo the contract, 2. Insist on a discount on the price paid, 3. Seek damages. So this legislation is quite tough. In the case of cars here are the five main categories of potential unfair business practices:
1.    Giving false information either verbally, visually or in writing, for example if the vehicle’s specification is misrepresented and/or its service history, length of MOT, mileage, number of previous owners etc. at any time either before, during or after the transaction.
2.    Giving too little information, omitting or hiding important information. e.g. having a check carried out on the vehicles mechanical condition but failing to mention the check and the results. Failing to mention the results of any history and mileage checks or (and this is a good one) failing to draw the customer’s attention to key elements of any warranty, for example what the warranty covers, the claims limits, excess and conditions of use.
3.    Acting aggressively e.g. using high pressure selling techniques to sell the vehicle, finance or warranty.
4.    This is a good old English law statement ‘Failing to act in accordance with reasonable expectations of what’s acceptable.’ No I don’t know either!
5.    There is a ban of 31 specific practices, no I won’t list them all just a few important ones such as falsely claiming to be a signatory to a Code of Practice, falsely claiming to be approved, endorsed or authorised by a public or private body. And here is a great one: falsely stating that a vehicle will only be available for a very limited time in order to elicit an immediate decision to buy.
I have illustrated the law as it applies to vehicles but they are equally applicable to anything you buy. Be it a TV, three piece suite etc. Now I bet you didn’t know that? By Graham Hill

Does Your Car Have The Right Number Plate?

Monday, 12. January 2015

Having a blog means that I get to hear some very dopey stories. The latest was a car that was delivered by transporter to a customer. As excited as he was about driving his new car something wasn’t right.

Thinking of a change but unsure as to the best way to finance your car? Then you need a copy of my car finance book, Car Finance – A Simple Guide by Graham Hill. Click on the link below to buy the best car finance book on the market, available as a Kindle Book and Paper Back.

He couldn’t put his finger on it but each time he walked towards the car a bell was ringing in his head but what was it? He walked all around the car trying to find a dent or something obviously wrong but could find nothing. After two days of driving the car he realised what it was, there was something wrong with the registration number.

He checked his agreement and realised that the car had been issued with a different number to his agreement. As it turned out there were two identical cars on the transporter, delivered on the same day to two different customers. Whether the dealer had issued the paperwork incorrectly or the delivery driver dropped the cars off to the wrong owners I couldn’t get to the bottom of, but as both cars were insured by the drivers on the other’s registration neither were insured to drive the car they were driving.

The fact is that they may never have known until the cars were returned or sold – how crazy is that? The other driver didn’t have a clue but apparently went loopy when he was told! And I don’t blame him!

The two drivers had their cars swapped and received a free first service. So when you have your car delivered check that the registration number agrees with your documents. By Graham Hill

The Farce Known As The European Consumer Credit Directive

Tuesday, 8. March 2011

A few weeks ago I had a bet with an old friend of mine over one of the critical sectors that I believed had been omitted from the new EU Consumer Credit Directive (CCD) which came fully into force from 1st February. The question was over Hire Purchase. I knew that the sister product, known as Conditional Sale, was included but it was my understanding that Hire Purchase was excluded and was therefore simply controlled, as it always has been, by our existing Consumer Credit Act. Confused? It gets Read more

New EU Cooling Off Period Rules

Tuesday, 9. February 2010

On the subject of the new EU Consumer Credit Directive there is a change to the 14 day cooling off period that is given to consumers when they sign the finance agreements off trade premises. Currently you can cancel an agreement if it is regulated under the Consumer Credit Act and signed away from the premises of the funder, the broker or the dealer. However, if you sign on trade premises you don’t have the 14 day Read more

End Of Lease Charges Confuse Drivers

Saturday, 21. February 2009

As more consumers take out Personal Contract Hire and those that have Personal Contract Purchase end up with cars that are worth less than the final payment, more cars are being returned to the leasing companies at the end of the contract that must be in ‘reasonable condition for its age and mileage’. But what is reasonable? One lady wrote to me complaining that she had some unreasonable Read more

New Leasing Benefit Identified For Consumers & SME’s

Friday, 12. December 2008

There is growing evidence that SME’s and consumers are moving over to leasing as a way to fund their vehicles. The old reasons still exist, having a fixed, known monthly cost, no risk in uncertain resale values and benefitting from hidden substantial bonuses provided by manufacturers to leasing companies but SME’s and consumers  have identified a new benefit. Read more