Not upheld: Goods and services under S75 complaint against MONEYBARN NO.1 LIMITED

Decision detail

Summary

Mr A purchased a used car (over 10 years old with 111,400 miles) through a hire purchase agreement with Moneybarn in April 2024 for £5,329. The car experienced gearbox problems requiring replacement/repair in April 2024 (under warranty) and reconditioning in June 2024 (at Mr A's expense). After operating normally for over 12,900 miles, gearbox problems recurred in April 2025. Mr A complained that the car was not of satisfactory quality and should be rejected. The ombudsman found the car was of satisfactory quality when supplied, as early repairs resolved initial issues and the vehicle subsequently proved reasonably durable for a used car of its age and mileage, particularly given Mr A's acceptance of the early repairs as remedy.

The Ombudsman's reasoning

The ombudsman applied the Consumer Rights Act 2015 standard of 'satisfactory quality', considering the car's age, mileage, price, and the reasonable expectations for a used vehicle. While the car experienced early gearbox problems requiring repairs in April and June 2024, these were rectified and the car subsequently proved durable by operating for 12,921 miles without issue before problems recurred in April 2025. The ombudsman concluded that early repairs are not uncommon for used vehicles of this age and mileage, and Mr A's acceptance of these repairs as a remedy meant he could not later reject the car. The significant time and mileage between the June 2024 repair and April 2025 problems demonstrated the car had been reasonably durable given its circumstances.

How this compares

Source

Read the original decision on the Financial Ombudsman Service website