Help please - rules on cars

fergusor

Hi guys,

I'm starting to get really worried about going br, not so much for me but how it's going to impact my partner.

At the moment we have 2 cars on finance, both finances in his name but one car registered to me. We have a 70 mile commute everyday so need a reliable car.

I appreciate we can get by on one car so one of them will be going but I'm now worrying about paying for the other.

Will the OR still let me contribute half to the finance on the car we keep (about £160 a month for ne), insurance, maintenance and fuel (about £240 a month between us) costs? We need a reliable car as we commute over 20,000 miles a year.

Thanks for your continued help, but I'm really starting to worry about this now

Richard.

dojoman

As you are the registered owner you should be allowed the amounts for insurance, fuel etc, but you will not be allowed the contribution to the finance, as the debt is technically not yours.

now

fergusor wrote: »

Hi guys,

I'm starting to get really worried about going br, not so much for me but how it's going to impact my partner.

At the moment we have 2 cars on finance, both finances in his name but one car registered to me. We have a 70 mile commute everyday so need a reliable car.

I appreciate we can get by on one car so one of them will be going but I'm now worrying about paying for the other.

Will the OR still let me contribute half to the finance on the car we keep (about £160 a month for ne), insurance, maintenance and fuel (about £240 a month between us) costs? We need a reliable car as we commute over 20,000 miles a year.

Thanks for your continued help, but I'm really starting to worry about this now

Richard.

It will depend on the finance agreement and the value of the cars, if it is on HP it is a secured debt and it will be up to the HP company as to what will happen to them. Example: if it is worth £6000 and you only owe say £1000 the cars could be sold, finance settled £2000 given back and the remainder after costs passed to the OR. It really is not clear cut as every case is judged on its own merits.

if it is only your partner who is going BR and he needs the car for work then he will be allowed up to the value of £2000 (should the car be sold and any money left over after settling the finance) It costs money to reclaim and sell via the auctions. You maybe able to change the agreement with the HP company for both cars (they may allow you to stand guarantor, that was allowed in our case

Who pays the debit every month? If you can prove you pay the finance for both cars you might be OK.

Check out the agreement, as you might be able to secure the cars in your name via the HP / Finance company, if however it is a personal loan then it would be different but again you maybe able to purchase the cars via the OR at market valuation saving them storage and auction costs.

Good luck

fergusor

I think I've not made myself clear enough.

I'm looking into going br. My partner and I have 2 cars, both of which my partner has taken finance on. One car is registered to me, the other him.

What I want to know is will I be able to include my half of the finance in my soa so I can continue to help him pay for it (we'll get rid of one so only have finance on the other).

Hope I've explained this a bit better.

blondee55

fergusor wrote: »

I think I've not made myself clear enough.

I'm looking into going br. My partner and I have 2 cars, both of which my partner has taken finance on. One car is registered to me, the other him.

What I want to know is will I be able to include my half of the finance in my soa so I can continue to help him pay for it (we'll get rid of one so only have finance on the other).

Hope I've explained this a bit better.

This has been answered in post no.2.

fergusor

Apologies, I missed that one ;-) Thanks for the answer.

If we were to get rid of the car in my name and only use the one in my partners name, would I still be able to contribute to insurance, fuel etc for that one? We both travel to work in the same car.

Ineedaname

If you are 'getting a lift' from your partner and the car belongs to them then I guess the OR will say costs are your partner's and not yours.

If you drove the car on alternate days and the other person got the bus then that would likely be different. But if you can get the bus one day then the OR would probably say you don't need a car and can use the bus every day. So once again, no costs for you on your SOA.

fergusor

Thanks. One more thing then, if they say I have to take the train I've got no problems putting that on my soa but it'll be about 50% more than the fuel would cost me (going halves with my partner). A season ticket for me would be £208 a month, fuel no more than £150.

Would they expect to see train tickets every month if I claimed the £208?

kepar

Basically do what is best for you, the OR does not have to know you get a lift to work. You could claim that you spend £200 on a train ticket, the OR might want to see a ticket or may be see the price listed. Filling out an SOA try to take advantage of every little bit you can, because once agreed the allowances can be spent how you want. To maximise your allowances I would claim you use the train, also that way you do not have to go into all drivel in your first post.

fergusor

kepar wrote: »

Basically do what is best for you, the OR does not have to know you get a lift to work. You could claim that you spend £200 on a train ticket, the OR might want to see a ticket or may be see the price listed. Filling out an SOA try to take advantage of every little bit you can, because once agreed the allowances can be spent how you want. To maximise your allowances I would claim you use the train, also that way you do not have to go into all drivel in your first post.

Thanks for the info. I wanted to be honest with them but if they make it that difficult then I'll just go for the easy option.

Ineedaname

fergusor wrote: »

Thanks. One more thing then, if they say I have to take the train I've got no problems putting that on my soa but it'll be about 50% more than the fuel would cost me (going halves with my partner). A season ticket for me would be £208 a month, fuel no more than £150.

Would they expect to see train tickets every month if I claimed the £208?

I think you've mixed my two paragraphs together.

If you want to continue to get a lift with your partner I don't think the OR would allow you car costs as it's your partner's car. The OR certainly wouldn't insist you use public transport when 'free' transport is available.

However, I think if you were to claim £200 per month public transport travel the OR would want to see receipts, the same as is suggested if fuel costs are high, they want proof.