Consumer Credit Act-Admin Fees

[PERCY67]

Hi All,

I have recently finsihed three lease agreemnts for my vans all regulated by the above act.

When I took out the agreements I paid each one an admin fee of £150 (approx) to set up. Now as with this type of lease once all the payments are made "rentals" the agreement enter a secondary rental period.

However I decided I did not want to enter the secondary rental period and as such sold the vans, for which the loan company received 5% of the sale price and full VAT of the sale.

All the above is set out in the agreements which is fine.

But the loan company have also asked for £50 fee for each agreement to close the account I have checked my agreements and there appears to be nothing advising of this.

I therefore ask are they allowed to do this as it just appears another way of making yet more money through backdoor fees.

Regards

PERCY

[yorkshirejames]

But the loan company have also asked for £50 fee for each agreement to close the account I have checked my agreements and there appears to be nothing advising of this.

I therefore ask are they allowed to do this as it just appears another way of making yet more money through backdoor fees.

Regards

PERCY

If you're sure of the above, then they can't do it. Write back refusing to do this, and see if they give you a clause number where they say they can.