Suncorp Bad Experience

[bcl]

Suncorp Debacle : Motor Vehicle Lease GTR

I decided to use Suncorp again for a motor vehicle lease (GTR R35) as I have had 4 car leases with them since 1999, the last (an STi) ending January last year. In May 2003 I bought a Ford BA turbo and WRX at the same time, and had 2 concurrent leases. A payment has never been missed. So I decided I’d use them again, as I was a customer, had a good record and they had my company details. All they wanted was the most recent tax returns, which was reasonable.

The lease application made over a month ago: quoted 7.95% which was a reasonable rate, although I could have got something marginally cheaper through the dealer. I decided to stick with Suncorp, as I thought it should be easier.

With the application a Contract for Sale was supplied so the car being purchased and purchase amount was clearly identified.

It took 3 weeks for accountant to complete 2010 returns company and personal.

I thought that would be OK, should be no problem as the company has no debt and enough cash to buy a few GTR’s, but I chose to finance it for the tax benefits. The company (my personal company) has been operating since 1980.

Then, this from Monday this week:

Suncorp wanted various bank statements, company, mortgage, 2 personal bank, credit card, not previously requested

then

Wanted another companies returns (I have a related company)

then

wanted its bank statements

then

wanted originals statement, not Netbank shots of the statements

then

told they will have to charge me 11% not 7.95% (wtf), as amount is over $150k

then

after my protest will reduce it to 8.95%

then

we will not give you a lease on this vehicle as it is a GTR

then

we will consider giving you a lease if you transfer all your accounts; companies, personal, mortgages over to Suncorp (wtf) …. Response was a quick no way.

Unbelievable.

Every day this week they have requested something new, and wasted a significant amount of my time.

When I requested to talk to a senior manager in loans I was told I could not, and that she would discuss with her “team leader”.

I even said I will be pre-paying lease payments, paying 12 months of payments in June, which is to their benefit. I get a tax benefit from this, so both parties win. I’m beginning to doubt that they understand that they are running a business.

This is clearly an amateur organization, disorganized, inconsistent, lacking integrity to honour an agreement.

At this stage my car will be ready for pickup in a weeks time.

If there is anyone here from senior management in Suncorp, I’d like to hear from them.

I’m now looking into alternative financing quickly, and on the basis of this experience would not recommend Suncorp to anyone.

Brian

[_John_]

Brian, Suncorp are a mob of deadset bastards and you`d be well rid of them. I had finaical dealings with them years ago and they sh!t on me badly. I`d happily walk backwards for 2 k`s to do them out of 50 cents.

[KeepLeft]

8.95% is ridiculous. Also the rate should be lowered, not increased as the amount financed increases.

[Dagabond]

Netbank shots of the statements

If your with the CBA Brian give them a shot, I had similar problems of being stuffed around when going for my lease and the CBA was the easiest and quickest to deal with over all. Which surprised me...

http://www.commbank.com.au/business/asset-finance/vehicle-finance/novated-lease/default.aspx

[bcl]

Thanks. CBA. I'll make some calls first thing Monday.

I just need a quick turnaroud without getting ripped off.

[Dagabond]

Howd you go Brian?

...you owe me a ride if they came through.

[bcl]

The saga gets better, and made Suncorp look even worse, and it is interesting just how poorly a company can act.

They rang me Monday pm to say that they would give me finance.

But they said they it would be a small business loan, and not a lease or chattel mortgage.

They would want one of my properties as security.

Wtf that’s not what I want, and you won’t get one of my properties for security just for a car purchase.

Then they changed their mind and said if they gave me a lease they would want a “fixed and floating charge” over my company. After checking out what that meant I said no way, as it is an ASIC registered facility where I cannot sell assets in my company during the lease (effectively they have control) and they can sell my companies investments if required if there is a payment default.

They said they really want some security such as property, shares, term deposits etc.

I said that’s very easy; I’ll take out some term deposits with Suncorp at varying terms to cover the cost of the car payments. Simple, no problem.

I said I want to make annual payments in advance, and over $50k upfront. Effectively after the first payment at settlement I would have the same lease debt as in 2003 with Suncorp when I had both my XR6 turbo & WRX leased with them at the same time, and no security was required. When I queried this, and why security was still required they said it is because there is now 1 car not 2 cars. They don’t understand that 1 or 2 cars has no impact on my repayment capability.

They said OK to the deal, but it would still have to go to “head of credit” for signoff, because of the size of the loan (how does anything ever happen in qld … ffs this is a relatively small amount)

Yesterday they rang to say OK, and I asked for the payment amounts. They came back with $80k * 2 and $105k residual. I said there is no way in the world that is anywhere near right. Her response was that it didn’t look right to her also, and she said she had already had 2 other people look at it, and it didn’t look right to them also.

Wtf, so why are you quoting me a figure that is obviously not right; in fact it is using an interest rate of around 40%!!!!!!

I said give me a correct figure. Typically with leases you deduct the GST from the purchase price to get the loan principal, then you pay gst on the repayments & residual.

In the meantime I rang the dealer finance person who can get the finance with Nissan at a cheaper rate and give me the facility I want to meet my needs.

An hour later Suncorp came back with another figure, a total of $50k less in repayments, and I said that is still $5k pa more than it should be, and that is an effective interest rate of 13.5% instead of their quoted 8.95%.

I asked what was the basis for this calculation. She said she didn’t know and would get back to me. She later rang me and said they increase the principal by adding GST to the luxury car tax. I said you can’t do that, and why would you do that. Response was she didn’t know, that was what they did.

She rang me back 2 hours later to say what she told me was wrong, as their basis adjusted the GST claimable amount by a certain amount. I said I thought that may be the case, quickly did the recalculation, but what she said they were adjusting it by still does not give the payment they are quoting at the interest rate.

Anyway, I said I’m going elsewhere for finance, and I said I’ve had enough of the inconsistencies and time wasted by Suncorp in this saga. She said that even she “didn’t know there was a threshold for GST” based on ATO guidlelines, and I suggested they need to review their internal training and make sure they give their customers the correct advice.

This will be my 10th car lease. I always double check that the payment quoted is correct for the interest rate that the company states that they are charging you.

My accountant has passed my return info to Nissan finance, so we’ll see what happens. They said they should be able to turn sort it out within 48 hours.As I’m paying 35% of the vehicle cost upfront it is should be no brainer for them. We’ll see what happens.

Brian

[Buf-Phoon]

Cripes Brian , WTF indeed. Useless, how hard can it be FFS ?

I hope your poor keyboard is OK

[Dagabond]

So you didnt try the CBA...

[bcl]

I was just a time factor.

I have a lot of business with CBA, so that should not be a problem.

I'm just taking a 2 year lease, and may do a roll-over then with someone else.

This is still not finalized; should know today, as the car should be ready for pickup Friday.

Brian