OR Interview

jammie1

Been on the phone for 1hour 15 mins but it was ok just confirming everything on the form. The only problem is my car which is on HP. Its worth £2300 and has of today has about £1400 outstanding on it. So £900 equity. Which they want to release even though I can't get to work without the car. I am about to ring the finance agreement to see if they will let me carry on the agreement (only 4-5 months left) if they let me will then have to plead with my parents to buy the equity. Surely if they take it to auction then they won't get £900 so would I have to offer £900 or could I offer less?
Thanks

Edited to add finance company are happy to allow me to continue making payments and they will let OR know this. So OR is going to confirm equity when they confirm the outstanding amount and we'll take it from there. Its the only thing that has shaken me could have kissed the guy at the HP company.

larzie30

can i ask who your hp company are?

L

jammie1

Yeah its black horse and they do list in there terms that if you go BR then is breaks the agreement which was confirmed on the phone. So he said there are 2 choices they can take the car or they are happy for me to keep up payments.

larzie30

well thats one hurdle crossed i suppose just got to get the money for the equity. Glad the rest of your interview went well, I will be doing a simliar thing soon. Hope my finance company are as good.

Good luck

jammie1

Good luck larzie30. Hope things go well for you.

debtinfo

I think this is wrong as the OR should exempt the equity in the car to use for work as it is less than £2,000. I wouls ask to speak to the AOR to check this. As you say if you refuse then if they adopt the agreement they will make a loss when they try and sell it

debtinfo

This is from the IS website, quote this to them

31.2.16 Exempt property
The exempt property provisions [note 5] (see Part 3) apply to items acquired by the bankrupt whether for cash or subject to finance agreements. The provisions apply even if there is no equity in the agreement. The hiring owner should be notified of the bankruptcy order, whether a claim has been made to the item as exempt property and, if so, whether the claim has been accepted by the official receiver. If the hiring owner is discontent with the position, e.g. the bankrupt is in arrears with payments, it may choose to exercise a right under the agreement to repossess the vehicle (see paragraph 31.2.12).

jammie1

I did question her about it when she said it, I said to her that I needed it for work and her answer was that they needed to be fair to my creditors as there was equity in it. So they had to have that equity to go to my creditors. The person I spoke to the day of my br also said it would be ok but she said he was just an officer. When I repeated that I needed a car for work she said I could buy one on finance and they would allow me up to £150 a month on my soa to buy a decent car!!! Was a bit shocked that she suggested me getting into more debt. So what do I do next?

jammie1

Thanks for the info debtinfo but am I reading that bit from the IS website right that the OR should have no interest in the car and whether or not there is equity in it is irrelevant?