another question please?????

spenderblender

We are going to go bankrupt as you probably all know by now just as soon as we have the failure certificate. Hopefully around March time if all goes well.
My OH seems to think that this will be ok but I am not so sure so please advise.
We have a car on finance at the minute on the 3 year options from the dealer which comes to an end next jan. OR will prob tell them anyway and we might get it taken away before hand but, I really need the car to get about due to health and I also run him into work and back as he starts at 5.30 in the mornings 6 days a week which he would,t be able to do if we lose the car.
We have now had an invite to go to a really good sale with the car dealers and have been told that we will have the chance of getting a new car for less than we are paying per month now for the one we have. Mad I know but if poss is a great thing.
OH thinks we should go for it because if OR lets us keep the car and doesn't inform the dealer then we don't have to tell them either for another 3 years and it would look better paying less for the car per month but, I think the OR would have have a dim view of this as it is taking out more credit when we knew we were going bankrupt.

peachyprice

You are right, the OR probably would take a very dim view of this and could slap you with a BRU.

Another thing to bear in mind, cars on HP can still be taken by the OR, they rarely do though, but if they felt you'd entered into the agreement whilst knowing you are insolvent, they may well take it, sell it, and pay off the finance. This is even more so where the car is brand new with a relatively high equity.

There is also the fact that until your IVA has officially failed you are not allowed to take out credit.

Have you looked at your agreement to see if there is a BR clause?

spenderblender

I haven't looked through the paperwork, no. We missed jans payment because we just can't afford to keep paying £300 per month. I have sent them the revised figures and received a letter today saying that we had failed to make the payment and had to pay it by the 10 feb followed by the next payment on the 15 feb. Waiting to hear from them now about my last letter. Should be this week hopefully.