On-the-road fees and what the Consumer Tribunal ruling means for you

Just how significant is the Consumer Tribunal ruling telling VW Financial Services that they must stop including on-the-road fees in their contracts from this week?

Does it spell the end of the practice and should anyone who was charged that extra fee on their car finance contract be getting excited about a refund?

Consumer Talk's Wendy Knowler, says “not just yet”.

Late yesterday, VW Financial Services released a statement saying they would appeal the the ruling.

I got official confirmation via a statement from their PR people saying 'we have taken external legal advice and the legal team has informed us it has good prospects of success on appeal, and this appeal has the effect of suspending the order of the tribunal.'

Wendy Knowler, Consumer journalist

Knowler says on-the-road fees can add up to R10 000.

It is a lot of money. They vary from R 3 500 up to R 7 500. In some cases some of the dealerships add on a separate licensing registration and other things, so it can be an extra fee of over R 10 000.

Wendy Knowler, Consumer journalist

You can imagine the refunds involved here, millions. So they are going to do it kicking and screaming if they do have to do it in the end.

Wendy Knowler, Consumer journalist

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