Partially upheld: Goods and services under S75 complaint against MotoNovo Finance Limited
Financial Ombudsman decision DRN-6192669 of 2026-06-19T00:00:00+00:00. Goods and services under S75 complaint against MotoNovo Finance Limited. Outcome: Partially upheld.
Decision detail
| Reference | DRN-6192669 |
|---|---|
| Decision date | 2026-06-19T00:00:00+00:00 |
| Firm | MotoNovo Finance Limited |
| Product | Motor finance (PCP / HP) |
| Claim type | Goods and services under S75 |
| Outcome | Partially upheld |
| Remedy | MotoNovo Finance Limited directed to: (1) reimburse the cost of repairs to oil cooler pipes and tyres upon proof of payment; (2) pay 8% simple yearly interest on reimbursed amounts calculated from date of payment to date of refund; (3) pay £100 compensation for distress and inconvenience caused by the unsatisfactory quality of the tyres and oil cooler pipes. |
Summary
Miss L purchased a nine-year-old used car via hire purchase with MotoNovo Finance Limited in August 2024. Within one month, she reported defects with tyres and oil cooler pipes, which the supplying dealer acknowledged and offered £125 towards repairs. When the dealer later refused to cover the repairs and Miss L incurred costs fixing these issues, she complained to MotoNovo about unsatisfactory quality. The ombudsman upheld the complaint in relation to the tyres and oil cooler pipes, finding these defects likely existed or were developing at point of supply, but rejected the claim regarding gearbox failure because Miss L's delay in repairing the known oil leak was a significant contributing factor to the subsequent damage. MotoNovo was directed to reimburse repair costs with interest and pay £100 compensation for distress and inconvenience.
The Ombudsman's reasoning
Under the Consumer Rights Act 2015, goods supplied under hire purchase must be of satisfactory quality at point of supply, assessed by reference to age, mileage and price. Faults identified within six months are presumed present at supply unless the supplier proves otherwise. The alternator belt, wipers and battery were either disclosed/reflected in price or normal maintenance items for a nine-year-old car. However, the tyres and oil cooler pipes were reported within one month of purchase and the dealer offered compensation, indicating these issues likely existed or were developing at supply. The gearbox failure, whilst possibly caused by the oil leak, occurred months after Miss L became aware of the leak, and the delay in repairs was a significant contributing factor to the catastrophic failure. Miss L had a duty to maintain the car and mitigate losses, so MotoNovo cannot be held solely responsible for consequential gearbox damage.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| MotoNovo Finance Limited, all decisions | 566 | 45% |
| Goods and services under S75, all decisions | 19,872 | 36% |
| Motor finance (PCP / HP), all decisions | 19,840 | 38% |
Source
Read the original decision on the Financial Ombudsman Service website