Hi to all, this is my first post.

Today my wife purchased a Corsa from Stoneacre. Price £7999, scrappage £1000 and £500 deposit

On our visit yesterday we agreed finance at £40 per week over 5 years which I thought was expensive but please bear with me.

We were then offered to the Business Manager who tried to add on loads of things but one thing we agreed to was a 3 year warranty at £1.98 per week! He showed us the pamphlet and what was covered, amazing and just for two quid a week? yes. Why, I now ask myself, was he looking so happy?

Today he wasn't there and we saw the Sales Manager who flew through the paperwork like I don't know what with figures all over which never quite make sense. He showed us the very same warranty asking if the man yesterday had explained it. We said yes. We signed and left.

What he didn't explain was that the warranty was £1500 and had been added to the credit and what I can't work out is that we should have financed £6500 but with this warranty of £1500 it's £8500.

I rang the manager and was told that nothing could be done as everything had been explained, signed for etc etc. but he would give me a settlement figure in six months time which would prevent incurring great interest. The £2 per week was an insurance for the warranty??

Now, we know we should have been more vigilant but do we have recourse in this matter?

Thanks

Jola

All warranty agreements should have the option for you to cancel at the start of your agreement. This is sometimes referred to as a cooling off period. Be aware that warranty providers usually require that customers cancel their policies within a set time period. These cancellation periods can vary and can be from 14 – 30 days.

Source - http://www.petrolprices.com/warranty-jargon-explained.html

Insist that the extended warranty is cancelled as above, point out that it was not made clear that the extortionate cost was being added onto your finance agreement. Also insist you now require the finance to be re-calculated due to the removal of the unwanted and misleading way the extended warranty was sold.

Was the car new, if so it has the Vauxhall manufacturers warranty as standard, or was this extended warranty to come into force after the standard warranty expired.?

You could have found a stand alone extended warranty much cheaper by shopping around, try Warranty direct for a quote, if you still require it.

Thanks conmankiller, I will take your advice - makes me feel better that I can cancel the warranty and pay, what I think, is the right price.

Btw, the car is nearly two years old so probably has a year of Vauxhall warranty left. Also they said the car had full service history but I have not been given the manual/service book but I will be fetching it.

Do I ask your questions of the dealer or the finance company?

Cheers

Initially see the dealer and confirm your request to cancel the unwanted warranty in writing as per your cooling off period stated in the policy.

Insist they amend the finance agreement to reflect the corrected new lower amount once the unwanted & mis-sold extended warranty is excluded. If there is any argument whatsoever then inform the dealer the problem will also be taken up with the finance company, as under the creditor-supplier-debtor three way finance agreement they all have a equal liability.!

Ironically; you would need that service book showing full service history, before any extended warranty company would even consider or honour any future claim.?

If this does not finally resolve the matter post back with the problem.

Thanks, I will post the result.

I don't want to start anything until late Friday morning as they are repairing a slight fault. As soon as I get home I will initiate the letters.

Hi - further info

I rang the finance company (Barclays Finance) and asked about the cooling off period. I was informed that when their agreements are signed in dealers or in shops, there is no cooling off period; however he did ask me to write in, outlining the details briefly and they said they would look into the matter. Is this so?

No, you're missing the point, it's not the whole finance agreement you wish to cancel...merely the extended warranty. !

Still write to Barclays (recorded delivery) explaining you did not wish to purchase this extended warranty, or especially to have it added to the finance agreement with interest added on without your knowledge, tell them you wish to have this missold extended warranty completely removed and the agreement amended to reflect this.

Does the extended warranty booklet state anything inside the wording about your cooling off rights, if not then this omission could be taken up as unfair with the ABI ?

http://www.abi.org.uk/

With regard to the finance I did mention that the car was fine but I had been misled with the warranty cost. He then said no cooling off period. At the moment I am only in possession of a photo copy of the agreement (omitting of course the vital page with £1500 on it) and the only reference to cooling off is in respect of payment protection, which we did not take out.

The t&c's in the booklet are short mainly outlining invalidations like if you tamper with the vehicle or don't service it but there is a paper insert stapled to the back page entitled " Personal and Vehicle Details" which has not been signed by us. It does state at the bottom "N.B. Guarantees are non-cancellable, non-transferrable and non-refundable.

I will write to Barclays but what worries me is, if there is a cooling off period and it's only 7 days, they wouldn't get my letter until Saturday when those departments that count are not working and Saturday is the seventh day.

Write it now, send it tomorrow by guaranteed next day delivery. !

Which company is the warranty with?

Here is a extract from Stoneacre garage (Dewsbury) used Peugeot extended car warranty booklet, the Vauxhall cover will be the similar thing.

Many thanks but it's not quite like that, no mention of cancellation. I think it's a Stoneacre guarantee and it has to be serviced by Stoneacre every 9000 miles or 9 months, whichever is first and now I am starting to get even more fed up with these people as the vehicle details state an odometer reading of 35145 miles at the start date of the guarantee, we have done 45 miles since picking it up and the reading now is 35959 miles. These guys are very lax.

The one referred to Peugeot specific whereas ours is general.

I will send them a letter however and keep you inform.

Again, many thanks

Simply do not accept this situation, demand to see the Full policy booklet, as you're entitled to have one to see all these conditions.

Inform them there is no way you want this extended warranty, otherwise a complaint will be lodged with the financial ombudsman, stand your ground be determined and DO NOT be bullied.

Same applies with Barclays write as above and generally kick up the biggest stink they have ever had the misfortune of....you can buy these extended warranty policies for around a couple of hundred pounds.

Thanks conmankiller,

So I will take the following action?

1. Send recorded delivery letter to dealer insisting that the warranty is cancelled forthwith and that they amend the finance agreement reflecting the price of the car alone.

2. Similarly send letter to Barclays insiting we were misled and have been mis-sold the warranty and request amended agreement.

3. If it is refused, reaffirm our non-intention to accept the warranty and threaten them with the ombudsman.

And don't worry, I wont give in, I will be very irritating.

It seems to me that with all these little areas like, not giving me the full copy of the financial agreement, registering false mileage on the warranty, not informing me of the t&c's prior to signing, may stand me in good stead eventually.

Spot on Jola - Don't lay down and submit whatever you do they are simply trying to profiteer at your expense, those warranties at that extortionate price.. have about as much use or the desire of toilet paper. !

Remember that happy salesmans face....always imagine what £ - £ commission was going through his head, this will give you the resolve and determination to wipe the smug look off his abusive face.

Jola - By any chance have they placed you onto this Stoneacre Personal service Plan as below, or a possible combination of both, in order to run up your costs......plus interest of course by adding it to the finance deal.?

http://www.stoneacre.co.uk/personal-service-plan.htm

If so that is not a extended warranty in itself it is purely what it says, a means of spreading out the future car servicing costs.

No I don't think so, that looks more like servicing, if I could get the Vista drivers to work for the scanner I'd show the document.

On studying further we've signed for a "non Barclays Partner Insurance Product". There are boxes, one of which is ticked and he has written 3 years guarantee at the side of it, I'll try and get these drivers working tomorrow and show you a scan.

It refers to a clause and another clause, which states (condensed) that if it's not cancellable by us then the full amount will be paid to the dealer and if it is cancellable by us then it will not be paid until the cancellation period has expired, called the advance date, which is what he said on the day I quizzed him - it had been paid. Once it's paid, that's it.

Is it?

Thanks