Hi all, I'm ltrying to find out where I stand with my car insurance if I buy via a particular company they retain the V5 for the first six months, so I'll not be the "Registered keeper"in this arrangement, as I want to transfer the vehicle on to my own policy when it arrives, however when I called my insurance company (Co-Op), the adviser was lost when I tried to explain this "Fleet owner" setup to him, does anyone have any advice on this and if it worked out ?.
The other thing that crossed my mind was, what if the leasing company go bust, how would I ever get my V5 ?, and could the car be repossesed ?.
Thanks in advance
anonymized - PU
Edited by Pugugly on 25/01/2010 at 20:37
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Avoid any company who does this. As you can see it causes problems. What if you get a producer in the first six months?
Try a proper broker like drivethedeal if you want a cheaper car.
Edited by Pugugly on 25/01/2010 at 20:37
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Thanks for the reply, I ahve spent the last two weeks searching the various brokers, some of which are listed on this site, most of them seem to use this pre-reg method, it's very frustrating when they all come up with great offers, but when you get to the fine print, there seems to be snag after snag.
The ones that don't use this method, are only marginally cheaper than local dealers, I don't understand why they sell cars like this if there legal issues.
Any further comments welcome, before I throw the towel in once and for all.
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Can I ask what you are looking to buy?
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As it says on the V5 the registered keeper isn't necessarily the owner - so what question do the insurance company ask that makes it difficult. You own the car.....
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As it says on the V5 the registered keeper isn't necessarily the owner - so what question do the insurance company ask that makes it difficult. You own the car..... >>
Most mainstream insurance companies require the policyholder or the spouse/partner to be the "registered keeper".
for example, www.churchill.com/motor/car_assumptions.htm
"Eligibility checklist for Car insurance
The vehicle is owned and registered by you, your spouse, partner or civil partner (not business partner) at your address and you, your spouse, partner or civil partner (not business partner) are the main driver of the vehicle. Your documents will state that the policyholder is the legal owner and registered keeper of the vehicle."
That is pretty much what most of the "cheap" online & phone" quotation companies will all require.
p.s. this "Retention of V5 and it's effect on Insurance" issue has been covered on this forum before
Edited by jbif on 25/01/2010 at 21:46
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If I'm thinking of the right company then tread with real care if they have no phone number or email address on their website and their contact address that appears to be on a private housing estate of modest priced houses... yet they claim to be an independent car retailer operating from town premises where they offer customers the opportunity to visit them at their offices. Odd.
Word on the street says there may be heavy early repayment penalty clauses in their finance agreements and they will not sell cars for cash at their quoted prices.
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It is this company, although there are others www.carsandfinance.com/ I have read
www.firstregisteredowner.co.uk and they highlight some issues, however, as as the V5 states, the V5 itself does not give proof/right of ownership.
I'm looking at buying a Nissan Note, some "Discount brokers" don't seem to do Nissan, but the discound is over £2000, the "Normal" dealer discounts whether online or at local dealers are around £500, so there is a big draw to this deal.
Having read www.firstregisteredowner.co.uk I now understand why they hold on to the V5 for six months (Manufacturers Fleet discount) but I need to be clear on the legal and insurance issue, and ensure that if an incident or accident occured prior to being named on the V5, I would be covered.
Thanks for your time.
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I've never bought a car this way so was unaware of the V5 retention fiddle. The warnings on the second link seems to be good advice. Namely...
If you are told that as part of your new-car deal you won?t be able to get the logbook for some weeks or months...you need to hear alarm bells around the size of Big Ben..
Don?t let a ?too good to be true? price sway your common sense and decision, a car is that low price as there are risks and ownership issues, and unknowns, from operators in the car market stopping it becoming transparent, safe and risk-free for the consumer. Many of these operators are ?bedroom brokers?, operating on laptops and without bricks and mortar businesses premises.
If you are told that you will not get the logbook for some months, you must insist that the deal has to include immediate logbook transferral to your name. if they cannot do it, simply walk away and buy from the brokers who DO enable you to have the benefit of high-volume discounts but act merely as introducers, enabling you to transact safely with a main franchised dealer and enjoy a normal ?first registered owner? sale
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Yep, sounds like good advice, my problem is I can't find another broker where I am the First registered keeper, that either stocks Nissan's or has a discount worth buying from, so it's either a samll discount from my local dealer or enter the grey area of the broker deal and save £2000 on top of that.
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What do you do if you want to take the car abroad on holiday?
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I assume that once you have it there's nothing stopping you applying for a V5 in your own name ?
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... there's nothing stopping you applying for a V5 in your own name ? >>
What if the T&C of your purchase include a clause such as this found on one broker's website ? :
7.1 In order to achieve these high levels of discount, most new cars and vans are pre-registered by the dealer. This happens the day before delivery. In cases of pre-registered vehicles it is a condition that the V5 (logbook) is retained by the dealer for a period up to a maximum of 12 months. This is purely a safeguard put in place by the manufacturers to prevent third parties from selling these vehicles straight to car supermarkets and the like. This practice has caused the manufacturers to take these precautionary steps. Retention of the V5 in no way detracts or affects Title of the vehicle which passed to the customer on payment.
7.2 After the retention period the V5 is transferred into the customer’s name. This is done well in time for you to re tax your vehicle .The date of change of keeper will be made by ourselves and sent to DVLA. This will then show any future owners of the vehicle that you have owned the vehicle from day one and therefore should have no detrimental affect on its value.
7.3 Not all vehicles are pre-registered. Please ask your broker prior to ordering.
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A V5 isn't proof of ownership anyway is it? It just identifies the registered keeper.
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A V5 isn't proof of ownership anyway is it? It just identifies the registered keeper. >>
Yes, as has been said already.
Proof of ownership is usually via documents such as invoices, receipts, proof of payment by owner, contract proving exchange/delivery of goods etc..
However, most if not all online insurance companies require that the car you insure is owned/registered as per, for example, the Churchill t&c quoted above.
Edited by jbif on 26/01/2010 at 10:33
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