HOME  FORUM  MEDIA  EVENTS  ARTICLES  TV  BLOGS
•Home
Bankruptcy:
•Bankruptcy Information Center
•What is Bankruptcy?
•Is Bankruptcy right for me?

•How to declare Bankruptcy?
•What happens to my assets?
•Bankruptcy and credit rating

Forum:
•forum
•register
•search
•faq
•experts

Blogs:
•Bankruptcy News
•More...

Media Room:
•Press releases
•Media Coverage

Other:
•About BankruptcyHelp
•Links
•Contact us
•Debt Glossary
•Insolvency jobs


FORUM
  > Browse and post on our forum
Home   |   Profile   |   Register   |   Active Topics   |   Members   |   Search   |   FAQ

Welcome to our Forum, please register if you want to post
Ask a debt question
See the last 250 posts
Watch video on how to use forum
Username:
Password:

Save Password
Forgot your Password?

 All Forums
 New Questions
 Forum Questions
 Car on HP
 New Topic  Reply to Topic
 Printer Friendly
Author Previous Topic Topic Next Topic  

frosie90
Junior Member

285 Posts

Posted - 06 September 2009 :  13:27:29  Show Profile  Reply with Quote
Hi me again,
On behalf of my friend i just want to query something. She is planning to give up her house so will be stopping paying her mortgage payments. She also has a car on HP. For which she is paying £205 per month, one year left if she intended to pay the whole amount. Car is worth approx £2500 but does have some damage. She was planning to carry on paying the HP as the car is needed for her shift work and unsociable hours. Would the OR take the car or would the OR consider it preferential payment if she were to continue paying it? What is her best option? I don't have any knowledge of HP etc. Any advice gratefully received. Thanks.

Jane.l
Average Member

511 Posts

Posted - 06 September 2009 :  13:53:48  Show Profile  Reply with Quote
The trouble is, even if the OR said she could keep it and carry on the HP payments, you might find the company will take it back anyway. most HP agreements have a clause in them that in the event of bankruptcy, they have the right to repossess the car

the first thing she needs to do is read the HP agreement carefully
Go to Top of Page

frosie90
Junior Member

285 Posts

Posted - 06 September 2009 :  14:04:58  Show Profile  Reply with Quote
Thanks Jane. If she stops paying everything, mortgage, secured loan on property and her HP payments would she then be able to use this money to buy a cheap run around even though she would still effectively have her HP car upto repossession?
Go to Top of Page

gettingoutofdebt
forum expert



2418 Posts

Posted - 06 September 2009 :  17:28:43  Show Profile  Reply with Quote
Yes, she could use the money to buy a cheaper car although it would still be at the discretion of the OR as to whether she would be able to keep the car or not. Even if the car is worth less than £2k the OR can still take it if they don't believe that a car is needed.
Go to Top of Page

frosie90
Junior Member

285 Posts

Posted - 06 September 2009 :  20:48:39  Show Profile  Reply with Quote
That's great thank you. Yes I think she should chance it and get a cheap run around. I am sure she can justify keeping a car as she does work shifts and has to travel late at night etc. Thanks again.
Go to Top of Page
  Previous Topic Topic Next Topic  

 New Topic  Reply to Topic
 Printer Friendly
Jump To:
bankruptcyhelp.org.uk Forum © bankruptcyhelp Go To Top Of Page
Powered By: Snitz Forums 2000 Version 3.4.06