Upheld: breach of Consumer Rights Act 2015 section 23 - failure to repair within reasonable time; faulty goods at point of sale complaint against MotoNovo Finance Limited
Financial Ombudsman decision DRN-6209332 of 2026-06-12T00:00:00+00:00. breach of Consumer Rights Act 2015 section 23 - failure to repair within reasonable time; faulty goods at point of sale complaint against MotoNovo Finance Limited. Outcome: Upheld.
Decision detail
| Reference | DRN-6209332 |
|---|---|
| Decision date | 2026-06-12T00:00:00+00:00 |
| Firm | MotoNovo Finance Limited |
| Product | Motor finance (PCP / HP) |
| Claim type | breach of Consumer Rights Act 2015 section 23 - failure to repair within reasonable time; faulty goods at point of sale |
| Outcome | Upheld |
| Remedy | MotoNovo Finance Limited must: (1) Allow Mr B to reject the car and collect it at no cost; (2) End the hire purchase agreement with nothing further to pay; (3) Refund all monthly payments made since 1 August 2025 with 8% simple interest per annum from payment dates; (4) Refund on a pro rata basis the £428.86 advance payment plus 8% interest per annum on the unused portion from 2 March 2025; (5) Arrange removal of negative information from Mr B's credit file relating to the hire purchase agreement; (6) Credit already paid £300 compensation against the above. |
Summary
Mr B purchased a used car via hire purchase with MotoNovo Finance on 2 March 2025. On 22 March, he reported a faulty gear selector. Two repair attempts failed, and a third was planned but not completed by the time the car broke down in July 2025. An independent engineer confirmed the gear selector fault was present at the time of sale. The ombudsman found that four months to attempt repair exceeded the reasonable time requirement under section 23 of the Consumer Rights Act 2015, and that Mr B had cooperated throughout rather than obstructing repairs. The complaint was upheld, entitling Mr B to reject the car, end the agreement, and receive refunds of payments and the advance payment with interest.
The Ombudsman's reasoning
The ombudsman accepted the engineer's findings that the gear selector was faulty at the time of sale, making MotoNovo liable under the Consumer Rights Act 2015. Under section 23 of the Act, MotoNovo was entitled to one repair attempt within a reasonable time. The ombudsman found that four months to repair a faulty gear selector, with two failed attempts and a third still pending, exceeded what constitutes a reasonable time. The text message evidence demonstrated Mr B was cooperating with the repair process and did not obstruct it; he only became negative after the additional breakdown in July. Therefore, MotoNovo had failed to comply with section 23, entitling Mr B to reject the car and end the agreement.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| MotoNovo Finance Limited, all decisions | 559 | 45% |
| Motor finance (PCP / HP), all decisions | 18,521 | 38% |
Source
Read the original decision on the Financial Ombudsman Service website