Car loan question

markeymark

A friend of mines asked me to post on here for advice, they had car finance taken out with Cavendish Finance, they emailed them to say they would be losing there job in a couple of months and asked for help, all they came back with was either voluntary termination on paying an amount to get out of agreement or final settlement, she basically stuck her head in the sand and ignored both options, she missed 2 payments and they then wrote to her cancelling the agreement and saying the car was now theirs and would have it uplifted. She gave them the keys when they came to repossess it but her husband told her not to sign anything

Company didn't have a court order to take car and she stated she had paid over 1/3 of the finance

Is this within the finance companies remit to do it that way?

Thanks

Apples2

What's the grand plan your friends have?

to keep the car themselves without paying a bean for it?

markeymark

To be honest I don't know what her grand plan is! She has paid for the car and missed 2 payments, she was surprised when they cancelled it so quickly

All she wanted to know is this the norm? Or should they have went through a court?

Thanks for your reply

Apples2

Even if they went through the courts, which they could, they would incur significant costs to do so.

See if your friends can work out where those extra costs will end up.

They should have VT'd the car when they had a chance to. they seem a couple of plonkers. There's only going to be one winner.

chanz4

You have to own more than them for a court order to be required

poppasmurf_bewdley

markeymark wrote: »

To be honest I don't know what her grand plan is! She has paid for the car and missed 2 payments, she was surprised when they cancelled it so quickly

All she wanted to know is this the norm? Or should they have went through a court?

Thanks for your reply

In the USA, they often repossess cars when ONE payment is missed.

Missing two payments shows severe financial difficulties (they already know about the unemployment), so its hardly surprising they have taken the car back. Maybe your 'friend' was hoping they'd leaving them with the car without paying for it for a year or two?

markeymark

Just an update on my friends situation, she informed me she hadn't heard anything from the finance company, so she emailed them asking what the situation was with her account. They said that the car had been sold at auction, but said no penalty charges have been applied to her account.

She thinks if it wasn't for her contacting them she would be none the wiser!

Apples2

She should check her credit file

markeymark

Will that tell her if anything still owed?