Not upheld: refusal to allow settlement after termination; handling of personal belongings after repossession complaint against BMW FINANCIAL SERVICES (GB) LIMITED trading as ALPHERA Financial Services

Decision detail

Summary

Mr K complained that BMWFS unfairly refused to allow him to settle his hire purchase agreement in full and keep the car after the agreement was terminated due to arrears of approximately £930. He also complained that his personal belongings left in the car were disposed of after he missed a collection appointment. The ombudsman found that BMWFS was not obliged to accept late settlement after termination, acted reasonably in declining the request given Mr K's extended arrears and financial difficulties, and made reasonable efforts to arrange collection of his belongings. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman found that BMWFS was not obliged to allow Mr K to settle and keep the car after the agreement had been terminated in accordance with the terms and conditions. Although Mr K claimed he was promised a settlement option, no evidence of a specific promise to send a settlement quote was found in the account notes. BMWFS acted reasonably by considering Mr K's request and reviewing his financial circumstances given his extended arrears history. Regarding the belongings, BMWFS made reasonable efforts to arrange collection, and Mr K had approximately one month to collect his items and should have been aware of the 19 December appointment he himself had requested.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website