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No-holds barred by Yes Car Credit collectors
DEBT COLLECTION agencies chasing debts of the failed Yes Car Credit operation are being accused of high-handed tactics. Provident Financial closed Yes Car Credit in December after huge losses.The company, which offered cars on finance to people with poor credit records, closed with £240m in outstanding loans. Now, it is chasing these loans through Direct Auto Finance, a company set up by Provident to administer existing Yes Car accounts. Many of the debts have been sold-on to debt collection agencies and it is these who are said to making life a misery for the customers.A solicitor representing 95 Yes Car customers says the collection companies are very aggressive. "A few clients have told us that they have had their houses photographed so the debt collection company can see how much it is worth," said Andrew Leakey of Stephensons Solicitors in Leigh, Lancs.
Under the arrangements with Yes Car, customers could return the car halfway through the loan agreement with no further payments, but many have been hit with bills because they took out expensive insurance and warranty policies.Cars are also being repossessed without court orders and excessive charges being added onto accounts.
As reported last month in AutoWired, the Yes Car Credit loans book now stands at £161m after collecting £83m in the first six months of the year.
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