| T O P I C R E V I E W |
| paddyuk |
Posted - 11 June 2008 : 16:05:40
Just realised my car is on HP, im a few months behind on payment now. What effect will this have?
If im bankrupt and they let me keep it do i keep paying the monthly fee, or do they write the debt off and i keep the car?
not sure what happens |
| 6 L A T E S T R E P L I E S (Newest First) |
| Reviva UK |
Posted - 12 June 2008 : 19:13:21
you only get to keep it if you pay for it.
You also need to decide FIRST if you cannot affored to keep it because if it isn't included in the Br and you later get it reposessed then you WILL be chased for the debt - not the best way to start.
If you feel you can't afford it ( and by asking the question you have probably answered it for yourself) you can keep a car in Br but you need to find a way of paying for it before Br as you certainly couldn't take out HP now and hope to keep it in Br
Paul Johns
Assisted Bankruptcy Specialists
Reviva UK
www.revivauk.com |
| paddyuk |
Posted - 12 June 2008 : 12:00:58
whats best to do now then? let the finance company take the car away now, auction it and then send me the bill then add this to my BR ?
im worried now. i cant afford to buy a cheap car with me trying to already save for the actual BR.
:( |
| paddyuk |
Posted - 12 June 2008 : 08:48:31
bit confused
so if it is HP and the OR lets me keep it, does that mean i carry on paying my monthly charge?
or not?
or if i cant simple afford it after everything else is taken out, will they take it away and the OR let me get a cheaper one? |
| Reviva UK |
Posted - 11 June 2008 : 22:27:47
Hi Del
occasionally if it is a motorloan the company still put a tag on it via HPI just so they are notified that you have sold the asset.
I think this is more about marketing so they know they can sell you something else.
Always check the t's & c's of your agreement to see if they call it a HP agreement and have details of the vehicle that is secured
Paul Johns
Assisted Bankruptcy Specialists
Reviva UK
www.revivauk.com |
| del |
Posted - 11 June 2008 : 22:21:32
If a car is unencumbered because it was bought with aa motorloan, should it still come up when someone HPI checks it if in theory it's not HP?
thanks
del |
| Reviva UK |
Posted - 11 June 2008 : 21:02:38
Hi paddyuk
some questions:-
1. is the car on HP or was it financed through a MOTORLOAN? quite often motorloans are unsecured debts meaning that the car in unencumbered.
2. If it is HP then the terms of the HP agreement will state somewhere that the agreement is terminated and any equity goes to the OR and any shortfall is taken care of in the BR.
3. OCCASSIONALLY the OR will aks you to deal with then handing back of the car and occasionally the finance company would prefer you carried on paying. So if you have disposable income it may be possible to retain the car depending upon the type of car and the monthly payment.
4. It may be possible to transfer the HP into someone elses name prior to the Br provided that there is NO asset value in the vehicle otherwise it may be seen as a transaction under value
Paul Johns
Assisted Bankruptcy Specialists
Reviva UK
www.revivauk.com |
