Fleetdrive Management Limited is an independent financial broker and not a lender. For vehicle financing, we have a representative range of financial products. Some of our lenders may charge an administrative fee to set up your agreement and we may receive a commission or other benefits from financial service providers if you decide to enter into an agreement with the financial service provider to whom we have introduced you. For all unregulated customers, a fee of GBP 195 is charged separately by Fleetdrive Management Limited upon receipt of the contract. The Financial Conduct Authority (FCA) has announced changes to the definition of income between leases and consumer credit following a response to its consultation. Companies may need to enter into a new agreement when granting a payment deferral or other relief measure in order to vary the original PCP or PCH agreement. The ACF is clear: companies should not exploit their customers in this situation by trying to re-charge the guaranteed future value (GMFV) or residual value (RV) of the vehicle based on current economic conditions, in order to recover more of the initial value of the vehicle through refunds. Such an act is likely contrary to Section 140A of the Consumer Credit Act 1974 (CCA) with respect to unfair relations. A related transaction entered into prior to the conclusion of a lease agreement will not have effect until such agreement is concluded (if any).

If the contractor withdraws from the lease or terminates it, he resigns from the related transactions or cancels them. Similarly, certain injunctions issued with respect to the application (or lack of third-party effectiveness) of the lease may be applied to related transactions. The complexity of the paperwork and the relatively low monthly payment mean that some businesses may not bother to insist that the two payments balance each other, so that if income stops, rents should also stop. This article explains the potential regulatory support for this argument. In case of unfairness of the individual entrepreneur, it is up to the owner to prove the contrary. `In the case of a credit-related activity, the main consideration is whether the service is an ancillary supply intended to provide consumer credit or consumer rent or whether the consumer`s credit or rent is an ancillary supply to the service. For example, when a TV is leased by a retailer under a regulated lease for consumers and the rental fee includes a maintenance element, the entire rental fee represents „revenue“.