Your Guide to Credit Hire Claims: Process, Disputes, and Solutions

At SilverOak Solicitors, we specialise in handling credit hire claims, helping clients recover charges for temporary vehicle hire following non-fault accidents. Our experienced team works to resolve disputes with at-fault insurers and secure the compensation our clients deserve.

What Is Credit Hire?

Credit hire is a service provided to individuals involved in a non-fault accident who cannot use their vehicle due to damage. A credit hire company provides a replacement vehicle on a credit basis, allowing the client to continue their daily activities while their car is being repaired or replaced.

The key aspects of credit hire include:

• A hire agreement outlining the terms, daily rate, and any associated costs.
• No upfront payment required, making it accessible to those who cannot immediately pay for a replacement vehicle.
• The expectation that the at-fault insurer will reimburse the hire costs.

This service is particularly useful for individuals who rely on their vehicle for work, family responsibilities, or other essential activities.

Why Credit Hire Claims Are Disputed

While credit hire provides a lifeline for those affected by accidents, disputes often arise between the credit hire company and the at-fault insurer. Common reasons for disputes include:

• Fault Disputes: The at-fault insurer may challenge liability for the accident.
• Excessive Charges: Insurers might argue that the hire costs are unreasonably high.
• Hire Period Disputes: Questions about whether the length of the hire was justified.

When disputes cannot be resolved, the credit hire company passes the claim to solicitors like SilverOak Solicitors to recover the outstanding charges on behalf of the client.

How SilverOak Solicitors Handle Credit Hire Claims

Our dedicated team works closely with clients to ensure all aspects of their claim are addressed. Once we are instructed, we take the following steps:

Initial Consultation

We contact the client to discuss the details of the credit hire claim and gather essential information, including:

• The need for a replacement vehicle and its use during the hire period.
• Access to alternative vehicles, if any.
• Financial records to demonstrate the need for credit hire (e.g., inability to afford upfront payments for repairs or replacement).
• Details of other losses incurred due to the accident.

Evidence Collection

We compile all necessary evidence to support the claim, including the hire agreement, proof of financial circumstances, and any relevant documentation regarding the accident.

Negotiation and Settlement

Using our expertise in credit hire claims, we engage with the at-fault insurer to resolve disputes over charges, fault, or hire periods. Our goal is to reach a fair settlement without the need for court proceedings.

Court Proceedings (If Necessary)

If negotiations fail, we represent the client in court to recover the outstanding hire charges. The claim is brought in the hirer’s name, as they are ultimately responsible for the charges.

What We Need from You

To ensure a smooth and successful claims process, we may ask you for the following:

• Details of how the replacement vehicle was used.
• Information on access to alternative vehicles.
• Financial documents to prove the need for a credit facility.
• Any other losses you wish to recover from the at-fault insurer.

Providing accurate and timely information helps us build a strong case and resolve your claim as efficiently as possible.

Why Choose SilverOak Solicitors?

At SilverOak Solicitors, we have extensive experience handling credit hire claims for a wide range of vehicles, including:

• Personal cars.
• Private hire and public carriage office (PCO) taxis.
• Commercial vehicles such as vans, coaches, and niche vehicles.

We understand the complexities of credit hire disputes and are committed to achieving the best outcome for our clients.

Case Study: Resolving a Disputed Credit Hire Claim

Sam, a 42-year-old delivery driver, was involved in a road traffic accident caused by another driver who ran a red light. His van, essential for his job, was severely damaged and required extensive repairs. Sam contacted a credit hire company, which provided him with a replacement van on a credit basis, allowing him to continue working while his vehicle was being repaired.

The credit hire company was unable to recover the outstanding charges, and he referred the case to SilverOak Solicitors. The client was concerned about being held responsible for the charges if the dispute wasn’t resolved, as he had signed the credit hire agreement and had used the replacement van during the hire period.

Once instructed, our team at SilverOak Solicitors took the following steps to resolve the claim:

• • We obtained documentation from the credit hire company, including the hire agreement and invoices.
  • We interviewed the client to establish the necessity of the replacement van for his job and confirm that he did not have access to an alternative vehicle.
  • Financial records were collected to demonstrate that our client could not afford to pay for a hire vehicle upfront.
  • We reviewed the insurer’s argument regarding the hire period and provided evidence that the repair duration was reasonable given the extent of the damage.
  • We highlighted the lack of viable alternatives.

Our team successfully demonstrated that the hire charges were justified and that Sam’s reliance on the replacement van was essential for his livelihood. The court ruled in favour of Sam, and the at-fault driver’s insurer was ordered to pay the full amount of the credit hire charges, including legal costs.

Get Expert Assistance with Your Credit Hire Claim

If you’ve been involved in an accident and need help recovering credit hire charges, SilverOak Solicitors is here to support you. Contact our specialist team today for expert advice and assistance.

Call us on 020 8578 7778 or fill out our online enquiry form to get started. Let us help you resolve your credit hire claim and secure the compensation you deserve.