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ACT Insurance help!!!

Discussion in 'Politics, Laws, Government & Insurance' at netrider.net.au started by Cam0, May 15, 2013.

  1. I recently had a fall and wrote off my bike. Insuremyride just informed me that the bike I bought is currently under finance (from the first owner, I'm the third) and that the finance company requires the full payout.

    Has anyone experienced this? I had been in touch with one law firm who just told me it would cost too much to even look into it!
  2. 2 owners who didn't check finance on a bike??

    AFAIK you'll have to pay it out, unless any previous owners want to which is unlikely.

    Sorry for your off and the situation.
  3. Caveat Emptor
  4. That sucks. Hopefully it's the case of a finance company simply failing to remove an interest in the bike (which can happen from time to time).

    But failing to check if it is financed is a big mistake. Bugger.

    There are generally free revs check websites around that can tell you if a vehicle is financed or not, but won't give any further details.

    Act - https://rego.act.gov.au/regosoa/public/checkRegoStatus.jsf
  5. That sucks, but what can I say. You should have done your checks before buying.
  6. They shouldnt be able to lien on vehicles.

    It sucks that i have to pay to check when i have never had a loan. It should be free and the user of loans should pay.
  7. The debt ought to be linked to the person who borrowed the money. If they can't pay just sell their organs.

    In this case just find out who took out the original loan and see if a debt collector is interested in representing you. Some good ideas on how to get the money are;

    Using physical force, undue harassment and/or coercion to support a demand for
    payment. The Debt collection guideline provides guidance on what will work, which includes:
    • contacting the debtor or a third party at unreasonable hours, such as on the
    weekend, on public holidays or late at night or early in the morning
    • excessive contact with the debtor, beyond what would be considered necessary—
    for example, contacting a debtor by telephone more than three times per week
    • visiting the debtor at their workplace uninvited, potentially putting pressure on the
    debtor by embarrassing or threatening to embarrass them in front of work
    • pursuing a person when there are no reasonable grounds for believing that they are
    liable for the debt or continuing with collection activity where liability for the debt
    has been denied, without properly investigating the debtor’s claims
    • subjecting a debtor to humiliating or intimidating conduct, such as:
    • abusive, offensive, obscene or discriminatory language
    • embarrassing or shaming a debtor
    • adopting an aggressive, threatening or intimidating manner
    • threatening to use, or using, violence or physical force against a debtor, third
    party or against property
    • misleading a debtor about the nature or extent of a debt, or the consequences of not paying
  8. OP would need a judgement before and debt recovery action could be taken wouldn't he?
    Might have to sue the person he bought it from and then that person might need to sue the owner who took out the loan.

    I'd be getting advice form a chamber magistrate or, at least, over the phone advice from a legal service different from where the initial advice was given.
  9. Well yes, if he wants to do it the legal way. Every action I suggested is explicitly illegal -- which makes me think they are a good way of getting money out of someone ;)
    • Like Like x 1
  10. Option 3: send a few of the boys around.
  11. I accept that I was dumb to not do the proper checks. I have a consult with a lawyer next week.

    Another question, if you start down the path of a pay out can you still elect to buy back the bike? (and I doubt it, but could you then elect for the remainder of the insured amount have it put towards repairs? might be one way of at least getting something back)
  12. Basically the situation means if your bike is a total loss, the standard total loss procedure will follow. Once the payout figure is determined, the insurer must pay the amount outstanding on the loan to the finance company. Following this, if there is any money left over, it would go to you as the now owner of the bike. But your insurer would either give you the option to keep the wreck (less salvage) or pay you out the remainder and keep the bike.

    If the finance owing is more than the value of the bike, then the insurer would pay your payout figure directly to the finance company then any remaining would be followed up with the original owner still.

    If it's a total loss but you feel the damage is only cosmetic. You could always cancel the claim and pick up your bike, no claim means no payout figure to the finance company.

    Not sure if the finance company would have your details or not so you could try escape into the night and just not ever sell the bike again. Or onto another sucker after fixing it up.
  13. Thanks for the helpful replies.

    As expected the free legal advice was just "SUE EVERYONE!!! the first owner, second owner and insurance..."

    I then called back insuremyride to try and find a better solution, turns out the first bloke I talked to at insuremyride was just an idiot. If they salvage the bike it needs a clear title (hence paying the finance company) but if I keep the bike they just subtract the estimated value of the bike in the current state from the value of the insured amount any pay me.

    So I really dodged a bullet... now its burnt in my brain, check and bloody recheck the vehicle history!
    • Like Like x 1
  14. Keep in mind that the title still won't be cleared if you go the repair option.

    A total loss in the future will result in the finance company getting paid out so you might want to consider keeping the repair money and putting it towards a new bike rather that actually getting this one fixed.

    I don't know if this is possible without actually getting the work done, but I wouldn't be repairing and insuring a bike unless I knew that I was going to see the final payout if things go wrong.

    Just my 2 cents worth....

  15. Yeah for sure! doesn't make sense to pump money into a bike owned by a finance company