Partially upheld: end of contract charges, vehicle quality defects, and service handling failures complaint against Stellantis Financial Services UK Limited

Decision detail

Summary

Mr P complained about end of contract damage charges of £480.30 (reduced from £788.30), vehicle quality issues involving two breakdowns linked to a later manufacturer recall, and poor service handling by Stellantis. The ombudsman found that while a fault was likely present at supply, it was appropriately repaired under warranty, so no refund was warranted. However, the ombudsman upheld the complaint in part, finding that Stellantis' service failings—including inconsistent MOT information, collection difficulties, and issuing payment demands during a dispute—caused avoidable inconvenience and distress. The ombudsman upheld the remaining damage charges as exceeding fair wear and tear standards but awarded £350 compensation for the combined inconvenience from vehicle faults and service failures.

The Ombudsman's reasoning

The ombudsman found that while a fault was likely present or developing at the point of supply (linked to the later recall), it was appropriately remedied under warranty, so no refund of payments was warranted. However, the breakdowns caused inconvenience and distress to Mr P. Additionally, Stellantis provided inconsistent information about MOT requirements, made vehicle collection difficult, required repeated contact to progress matters, and issued payment demands while charges were being disputed. These service failings, combined with the inconvenience from the vehicle faults, justified compensation. The remaining damage charges of £480.30 were upheld as they exceeded fair wear and tear standards set by BVRLA guidance.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website