Fees and charges applied to loan account on repossession of vehicle incorrect or excessive | Faulty vehicle | Breach of responsible lending | Unaffordable loan
Except in relation to an error where the FSP has overcharged the consumer by $35,we find the consumer’s claim that the FSP’s charges in relation to the repossession of the vehicle were excessive has not been established.
We find the consumer’s claim that he experienced ongoing faults with the vehicle to be outside our jurisdiction.
Although not introduced as a claim by the consumer, in circumstances where the consumer appeared to have difficulty meeting his repayments immediately after the loan was drawn down, we have considered whether the FSP complied with its responsible lending obligations in providing the loan to the consumer.
In this regard, we find that the loan was unsuitable in that the consumer was unable to meet the loan repayments or would only have been able to do so with substantial hardship.
Consequently, we recommend that the FSP:
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Recommendation - 21 September 2017