we went bankrupt in july and have a caravan worth approx £8k of which we had paid off approx £4k - we included this in our bankruptcy ( it was on hp with Black Horse ) can they re-possess it without the OR's permission?
if it was on HP and not a Fixed Sum Loan Agreement then the caravan actually belongs to the finance company and any equity in it after the HP outstanding is paid off belongs to the OR. HP is a secured debt, that is secured against property, the finance company have first claim on the value of the HP.
Dave
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If it is a HP agreement then this would be considered similar to a secure loan so if you included the amount in the BR, or weren't up to date on the payments, the HP company would be within their rights to take the caravan back.
Just as an aside - even if it was not a HP agreement you would still lose the caravan as the OR would take it and sell it for the benefit of your creditors - either way you will not be allowed to keep the caravan
Melanie Nicholas 28 years insolvency experience - 23 of which in the Insolvency Service - Insolvency Manager Jones Giles email me at melanienicholas@jonesgiles.co.uk
because of the equity position you should not make further monthly payments and I would suggest you speak to the OR & Black Horse tomorrow to remind them that the caravan is still with you
we went bankrupt in july and have a caravan
Posted - 13 October 2009 : 11:40:01
