conservatory ordered, mortgage refused!

adonis

New Member
Jul 10, 2009
2
0
0
Hello all,
I paid a small deposit for a conservatory, much less than they required. I told the guy that we were waiting for final mortgage approaval but that I didn't think it was a problem (I'd had provisional acceptance over the phone). He said OK. After 8 weeks battle with abbey, the mortgage was refused. The conservatory company now want payment. They haven't actually done anything, a 30 minute survey and some standard architect drawings. They claim we now owe 2000 for this. The contract was legal and we did sign in good faith, but none of us foresaw the mortgage being refused. What do we do ? We can't afford to pay 000's for a conservatory. CAB suggected negotiation with the company to get out of the contract.

Thanks

Peter
 

Tony

What Consumer Founder
Apr 7, 2008
18,307
3
38
Bolton
Hi Peter,

Legally you have entered a contract, but they can only charge you a reasonable amount and not profit from your cancellation. What is the cancellation policy ? Did they make this clear and was the contract signed in your home?

Tony
 

adonis

New Member
Jul 10, 2009
2
0
0
hi tony

yes it was signed at home, the contract is legal according to cab. My problem is we don't have the money and can't pay. We don't think we've been dishonest and they knew we were waiting on a mortgage. The salesman was very nice, but the fact remains we've been turned down for a mortgage and now have noway of paying them. We didn't expect this. It appears that the lack of will of the lenders means that they can pursue us for at least 2K.

peter
 

Tony

What Consumer Founder
Apr 7, 2008
18,307
3
38
Bolton
Did they comply with this:

The Seller’s Obligations

With any contract or sale made in this way, you must be sure you have been presented with clear written notice of your 7 day right to cancel, at or before the time the contract is made. If you have not, the contract is legally unenforceable, even if a deposit has been paid. This notice, which cannot be in the form of small print, or otherwise disguised, must also provide a cancellation form and advise you on how and to whom a notice of cancellation is to be made. Any related credit agreements will also be cancelled.
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