Not upheld: PCP / HP mis-selling complaint against Volkswagen Financial Services (UK) Limited

Decision detail

Summary

Miss L complained that VWFS misrepresented a used car by telling her VED would be £195 annually when it was actually £620, and by pressuring her into finance with allegedly minimal interest costs that proved substantial. The dealership offered to unwind the agreement or replace the car, which Miss L declined. The ombudsman found no evidence of misrepresentation, noting that the finance agreement clearly disclosed interest costs and withdrawal rights, and Miss L's refusal of the dealership's remedial offers suggested the alleged misrepresentations did not directly induce her to enter the agreement. The complaint was not upheld.

The Ombudsman's reasoning

The ombudsman found that there was no evidence Miss L was told incorrect information about VED or interest costs. Even if she had been misinformed about VED, her decision to decline the dealership's offer to return or replace the car suggested this information did not directly induce her to enter the agreement. Regarding interest costs, the finance agreement clearly disclosed daily interest charges of £7.32 and explained Miss L could withdraw within 14 days using her available savings. The ombudsman also noted that VED is published government information for which consumers bear responsibility to research independently.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website