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My friend used Evans ride to work scheme and sent him an email demanding that he either pays a final settlement figure on his bike or extends the scheme
Its not clear who he has to pay the final settlement to though.. would that be the employer?
if the employer doesn't want any money from him what should he do? Currently he's been ignoring the emails!
Reply to the email with "how do i make the payment ?"
🙂
Iirc the cost to extend the scheme for another 2 years is 1 months payment. You then have to pay a settlement fee at the end, but the bike is deemed to have no value, so it's nothing.
just extend the scheme, its free and then you do a zero value transfer at the end of the term.
Win
Win.
just extend the scheme, its free and then you do a zero value transfer at the end of the term.
Win
Win.
Unless it's changed in the last year or 2, this. I think Evans own my bike at the moment.
They haven't asked for it back...
its free and then you do a zero value transfer at the end of the term.
I would tend to expect a final payment at the end. Unless its an extremely long term or the bike was worth peanuts to begin with there would still be some money to pay.
For the OP.
Cycle to work was always supposed to have a final payment at fair market value. These figures may or may not be accurate any longer but for a bike over 500 quid it was:
25% at one year
17% at 2 years
7% at 4 years
People took the piss for several years until HMRC got a tad bored and started enforcing it.
The normal approach was therefor to still pay for the bike over 1 or 2 years but then have another 2-3 year extension with no charge at which point the cost would drop a tad. although some companies might now spread the cost over all the years.
Shouldn't be free to extend. It should be a one off payment for a further 2-3 year hire after which the bike is deemed to have a nil value.
All of this is quite simply resolved by calling or emailing Evans of course!
Also Evans don't own your bike, your company does. Email or call the r2w department of you have any issues.
I believe that Evans do own the bike. They lease it to your employer who leases it to you. After the first year the employer drops out of the picture and Evans lease it to you directly. Or at least that was how it worked when I was involved in setting up a scheme for my previous employer.
It turns out this is he 3rd bike and he has ignored the emails 3 times which come through fast and strong for a few months. When they have stopped he started another scheme... its not clear exactly who the money is owed to by the sound of things