V12 Procedure Guide - Flipbook - Page 24
Product + Procedure Guide
1.7.2 Add-ons to vehicle sales price
V12VF will allow the following additional
items to be funded on the loan associated
with these Products:
• Dealer-昀椀tted accessories.
• Car tax (also known as Vehicle Road
Fund Licence).
• Delivery charge.
• Administration Fee/ Dealer Fee or similar –
up to a maximum of £199 inc. VAT.
(Note: Fuel is no longer an acceptable addition
to a V12VF loan).
If you apply or wish to apply any of these
add-ons to the loans associated with
V12VF Products:
a) You must ensure that add-ons meet the
needs of customers.
b) The total credit charge of any add-ons to the
loan must be presented to the customer.
c) You must be able to explain the sales process
to us on request (advertisement, pre-sales
disclosure, application to the loan etc).
• Evidence the disclosure to the customer
(advertisement, pre-sales disclosure,
application to the loan).
• Explain the criteria for applying (how,
who, when).
- In the proposal submission (via CALMS
system or integration 昀椀elds, using the
DFO 昀椀elds).
- On the invoice.
• You retain and make available for audit any
documents relating to the sale of add-ons
on a V12VF loan.
d) You will share complaints data with V12VF
where they are concerned with the add-ons
sales process.
1.8 Additional Product Information
1.8.1 Partial Early Settlements
A customer can make overpayments at any
time. If they request a partial early settlement,
they may be entitled to a rebate of interest
on their account. Section 94 of the Consumer
Credit Act 1974 and the Consumer Credit
(Early Settlement) Regulations 2004 lay out a
formula to calculate any interest due.
The customer has 28 days from requesting
the partial early settlement to make the
overpayment. The overpayment plus any
rebate of interest due will reduce the
outstanding balance of the customer’s
account. The length of the agreement remains
unchanged, and future monthly repayments
will be reduced accordingly.
There are no charges for a partial early
settlement.
• It must not be a charge for the arrangement
or introduction of 昀椀nance to the customer.
• You identify the details and cost of the addons where funded on a V12VF agreement
so it can be identi昀椀ed separately, as well as
being included in the total sales price.
24