merchant rentals hire agreement

[Undercover Elsa]

Re: merchant rentals hire agreement

Good points Garlok...I think we need to see the small print.

[garlok]

Re: merchant rentals hire agreement

I think we have to be sure its CCA1974/2006 regulated. Many of these business "agreements" prove not to be in the end despite what the heading says on the top of the paperwork. Having taken some advice on this, in principle in a contract that is not regulated by Statute and hence falls under Common Law ANY clause can be entered in the contract terms as long as the perpetrator can find some fool to sign it and it will stand. (no derogatory intent here just the statement that was made) Caveat Emptor always is used as justification.

From a personal view the old "Ansaphone" contracts spring to mind as they were one of very very few pieces of equipment the old GPO phone organisation allowed to be connected to their equipment. There was quite a bit of case law around then in the seventies which they always trotted out.

Garlok

[Undercover Elsa]

Re: merchant rentals hire agreement

Hi,
I would agree that 12 months notice is a very unfair term. Additionally, they are jumping the gun demanding the advance payment now before the period you've paid for has even expired!
How did you normally pay this...monthly instalments in advance or annually in advance?

Any chance you could scan up this agreement. If it's CCA 74 regulated you will have more protection. No default notice sent...oops.
For some reason Woodchester comes to mind...

[Never-In-Doubt]

Re: merchant rentals hire agreement

Normal default & termination rules apply.

[carol01]

Re: merchant rentals hire agreement

I'd be looking to utilise CPUTR as this is clearly unfair.......

I presume this merchant processor is for those unable to get mainstream such as streamline etc...? If so that'd surely be a breach of CPUTR.

id not worry too much right now tbh.

hiya
it is steamline through mechant rentals. the appication form is for streamline, but the hire rental agreement is with handepay though merchant rentals. i didn't think it was fair if they had said you will be in a contract for 6 years we wouldn't have took it as we only had three years left in the lease at the time of taking it on. my only issue is would they not have to default the agreement first before taking us to court or is this bit by passed as its a hire agreement
thanks for all your comments

[Never-In-Doubt]

Re: merchant rentals hire agreement

I'd be looking to utilise CPUTR as this is clearly unfair.......

I presume this merchant processor is for those unable to get mainstream such as streamline etc...? If so that'd surely be a breach of CPUTR.

id not worry too much right now tbh.

[carol01]

Re: merchant rentals hire agreement

thanks for the reply garlok
it does say it is a hire agreement regulated by the consumer credit act 1974
i think we may have to ride this one out and if it goes to court them offer them 1.00 a month as you say, both our credit histories are shot anyway lol. again thanks for the reply

[garlok]

Re: merchant rentals hire agreement

Difficult one this. I assume it was done under the auspices of the business? The contract sems pretty clear cut from what you have said although there does seem to be some peculiarity over more than one firm being involved. This will be Contract Law and not a CCA Statute based issue

We managed to get rid of ours six months early because Vodaphone had sold out their interests to another company and we refusd to transfer as the mobile terminal was not a good performer shall we say.

I would be inclined to reply with some sort of offer, you have another thread which clearly shows you have financial difficulties ( don't tell them that) and offer them a pound a month as you would offer that to the court as an act of good faith. Or you are prepared to make a one off payment of say 10%, tops 20% and they go away for good.

If I may put my twopennyworth in over this for others. If taking out merchant services for a business, shop around by all means but be beware of some of the outfits offering too good to be true schemes. The Confederation of Small Business offer a sensible competitive scheme as do (or did) The National Market Traders Federation. You can usually do a deal with your bank if you get quotes form the other banks and then quote the lowest to your own. They will often match it. The contracts we have had have never had the sort of penalties attached to them that this one seems to have had.

regards
Garlok

[carol01]

hi all
to cut a long story short my OH had a shop which came to the end of its 5 year lease on 9/09/2011. The shop lease was not renewed due to the lack of trade and not wanting to be tied in for another 5 years. We had a card payment chip and pin machine in the shop which was from a company called merchant rentals.
we took out the reader on 17/11/2008 and the lease was for 36 months and if after that it would be extended for an extra 35 months. we phoned merchant rentals to inform them that on 17/11/2011 we no longer require the chip and pin machine as we do longer have the shop, to which we were told that as we have not given 12 months notice we would be liable for the other 35 months after november. That was 3 weeks ago. a letter arrived today final demand for £430.28 and that we have seven days to pay or they will issue a legal claim in the local county court to recover all monies owed.
i have checked the terms and cons on the agreement and it does state to terminate the hire on or after the minimum period you must give us no less than twelve months notice of termination either before the end of the minimum period or otherwise before the end of any extension period .it wasn't explained to us at the time by the rep and was not on the appliction form that was filled in, it is on a seperate form from handepay which was all pre-filled by the rep OH signed it.
12 months ago the shop was trading fine and we were looking to extend the lease. Our we stuffed here and will we have to pay for the 35 months i know it may not seem a lot but right now with only my income comming in and christmas right on top of us, its a debt a really could do with out
thanks inadvance carol01