Upheld: Goods and services under S75 complaint against N.I.I.B. Group Limited trading as Northridge Finance
Financial Ombudsman decision DRN-6274315 of 2026-06-23T00:00:00+00:00. Goods and services under S75 complaint against N.I.I.B. Group Limited trading as Northridge Finance. Outcome: Upheld.
Decision detail
| Reference | DRN-6274315 |
|---|---|
| Decision date | 2026-06-23T00:00:00+00:00 |
| Firm | N.I.I.B. Group Limited trading as Northridge Finance |
| Product | Motor finance (PCP / HP) |
| Claim type | Goods and services under S75 |
| Outcome | Upheld |
| Remedy | NRF must: (1) End the agreement and collect the vehicle at no cost to Mr R with nothing further to pay in relation to monthly payments; (2) Refund advance payment of £4,000.00 (less any dealer contributions); (3) Refund monthly payments made after 11 August 2025 until settlement; (4) Reimburse evidenced additional expenses (113.50 Euro and £64.80 diagnostic costs); (5) Pay 8% simple interest per year on all refunded amounts from date of payment until settlement; (6) Pay £300.00 for distress and inconvenience; (7) Remove any incorrect adverse information from Mr R's credit file. |
Summary
Mr R purchased a four-year-old used car with 64,000 miles under a hire purchase agreement with NRF in February 2025 for £18,990.00. The vehicle experienced persistent DPF issues starting in the first month, requiring multiple repairs by the dealership in February, Spain, May, and August 2025, with the faults recurring despite each repair attempt. After the final repair failed in August 2025, Mr R returned the vehicle and requested rejection, but NRF rejected his complaint citing breach of agreement for driving outside the UK and claiming the vehicle's condition had changed. The ombudsman upheld the complaint, finding the vehicle was not of satisfactory quality when supplied due to the persistent DPF defects, and ordered NRF to end the agreement, refund the advance payment and post-August payments, reimburse evidenced expenses, pay £300 compensation for distress and inconvenience, plus 8% interest on refunds.
The Ombudsman's reasoning
The ombudsman applied the Consumer Rights Act 2015, which implies that goods supplied under a consumer credit contract must be of satisfactory quality, fit for purpose, and as described. While the vehicle was a used car with age and mileage that would reasonably be expected to require maintenance, the persistent DPF issues starting in the first month and recurring despite multiple repair attempts demonstrated the vehicle was not of satisfactory quality when supplied. The ombudsman found that after multiple failed repair attempts, it was fair for Mr R to reject the vehicle. The ombudsman rejected NRF's defence regarding driving outside the UK, noting NRF had not terminated the agreement for this breach and continued to require payments. The ombudsman awarded compensation for distress and inconvenience given the significant impact on Mr R, and allowed reimbursement of evidenced costs incurred due to the defects.
How this compares
| Group | Decisions | Uphold rate |
|---|---|---|
| N.I.I.B. Group Limited trading as Northridge Finance, all decisions | 17 | 47% |
| 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