As part of a hire-purchase plan, the consumer is required to maintain the leased property appropriately. If the goods are damaged by the consumer and returned to the owner or financial company, they are entitled to send the consumer an invoice for repairs. Everything you buy under a hire-purchase agreement must comply with the Sale of Goods and Provision of Services Act 1980: a regulated financing agreement and an unregulated financing agreement The lender sells the returned goods at auction and the money it receives is used to pay off your debts. If there is not enough to pay the full amount, you will have to pay what is left, plus any legal costs. It is worth asking the lender if you can try to sell the goods yourself, because this way you will often get more money for them. Judge – “Would you say you sold an unregulated deal to a consumer-regulated customer and denied them full protection of the law in favor of your business when they just wanted to buy a vintage car on the weekend with a simple loan?” Conditional sale is similar to hire-purchase. The agreement usually includes the condition that the goods do not belong to you until you have paid the last instalment and the lender may be able to repossess the goods (take them back) if you are in default. Under an agreement governed by the Consumer Credit Act, you have the right to terminate the contract prematurely and receive a legal discount on interest charges and generally a penalty fee of approximately 58 days of interest charges. Here you may be asked to sign and legally declare that the car will be used for professional mileage, renouncing your still important consumer rights and allowing the lender to apply unregulated conditions. If a consumer returns defective goods, he is entitled to a refund of all deposits paid, since the rights of the consumer in this situation are the same as if the goods had been purchased directly.
You may terminate (terminate) an instalment purchase or conditional purchase contract in writing and return the goods at any time. .