Not upheld: goods not of satisfactory quality - defective engine complaint against Zopa Bank Limited

Decision detail

Summary

Mr C purchased a used car (over 5 years old with 48,036 miles) under a hire purchase agreement with Zopa Bank in March 2024 for £10,269. The car passed MOT tests in January and December 2024 with no advisories. In July 2025, after the car had been driven over 14,000 additional miles, engine issues emerged requiring what appeared to be engine replacement. Mr C complained that the car was not of satisfactory quality, but Zopa Bank rejected the complaint. The ombudsman found insufficient evidence that the engine defect was present or developing at the time of supply, particularly given the substantial mileage driven since inception, and therefore did not uphold the complaint.

The Ombudsman's reasoning

The ombudsman applied the satisfactory quality test under consumer rights law, considering the car's age, mileage, and price. The key reasoning was that the car had successfully been driven over 14,000 miles since supply before the engine issues emerged, which would not have been possible if the defect had been present or developing at inception. The independent expert's report, which provided clarity on the timing and nature of the fault, was more persuasive than the assessor's report. The ombudsman concluded there was insufficient evidence to show the engine issues were present or developing in March 2024.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website