Upheld: Goods and services under S75 complaint against Moneybarn Limited

Decision detail

Summary

Mr H purchased a used 2014 van with over 106,400 miles through a conditional sale agreement with Moneybarn in March 2023. In June 2023, he reported a timing belt fault and stopped using the van. An independent inspection in August 2023 confirmed the van lacked durability at supply. Although Moneybarn arranged repairs at no cost, the repairs were delayed and the van was not returned until February 2024, leaving Mr H without transport for several months and unable to work or pay instalments. The ombudsman upheld the complaint, finding the repair process took too long and caused significant inconvenience without adequate remedy, and ordered Moneybarn to waive arrears from June 2023 to February 2024, update the credit file, and pay additional £300 compensation.

The Ombudsman's reasoning

Under the Consumer Rights Act 2015, goods must be of satisfactory quality, which includes durability. While a used van with considerable age and mileage would reasonably be expected to have greater wear and tear, the independent inspection confirmed the van lacked durability at supply. Although Moneybarn arranged repairs at no cost, the repairs took several months (June 2023 to February 2024) to complete due to delays between the repair garage and warranty company. This caused significant inconvenience to Mr H who relies on the van for work and was unable to pay instalments during this period. The ombudsman found that one opportunity of repair should be completed within a reasonable timeframe without significant inconvenience, which was not achieved here. The lack of a courtesy vehicle during the extended repair period further compounded the unfairness.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website