Bad news from cab

mynumber

Hi all, its not a happy day, i got a letter from cab stating what we discussed last tues. in it it says my son will lose his car when i go bankrupt, i took out a loan for him 2010 for a car he has now, hes paid all the payments on it and its registered in his name, but because of me he will lose it. i dont care what thet take of mine, i feel as though i have let him down k

PippaGirl_2

It's not actually the CAB's decision, it is the OR and they may feel differently. You may have taken the loan out but he has been making all the payments for it, so I would say this is not set in stone. I'm not saying they won't take it, but they might not. What they might do is work out how much he has paid for it so far and let him have that much or pay the difference somehow in its current value to keep it.

PippaGirl_2

Yes that was my thoughts exactly sniggings

sniggings

If your Son can prove he made the payments then I can't see it being a problem.

Did Cab say they might take the car or would? if they said the OR would then they are out of order saying that as it's the OR's decision not theirs.

Thanks Pippa :rotfl: (deleted by mistake)

PippaGirl_2

Oo look I replied to sniggings before the post, I prophesied :-D

freddy911

Important thing here is did you take out the loan then give the money to your son to buy the car, or is the car on hp? If it was just a plain loan then it's not associated with the car hence the or cannot touch your sons car. You will have to declare however that you lent your son money from a loan and he is paying you. Worst case I can see is the or will Persue your son for the outstanding balance what he has not yet paid.

NeverAgain_2

Some CAB staff are worse than useless.

This person needs to be told to get their facts straight before dispensing advice.

In any case, they ought to know the answer to The Car Question can never be reliably predicted.

22bear

I totally agree with Neveragain about the level of advice given by some CAB staff...they were my first port of call when I got into difficultly with my income tax and couldn't pay the amount due and knew that I'd have to go bankrupt for it....the woman I saw (part of the "blue-rinse brigade" of Sevenoaks, Kent) told me in no uncertain terms that income tax cannot be included in bankruptcy and that I would always be liable for the debt...I was in a really vulnerable state (crying my eyes out actually!) but I said to her that I thought she was maybe wrong in what she was saying....she got really indignant, said that she was 100% sure, so I asked her to go online and check...and of course, she found out that she was totally incorrect...I felt really let down and angry with her and her attitude...so my lesson was that CAB staff sometimes at least, don't know their a..e from their elbow!

CCCS were fantastic and really knowledgable as were many folk of this forum...so always be wary of CAB advice, is my advice!

abertawe1

:oi went br in april and i had exactly the same problem i got my son a car on hp but he was making the payments. or if it was on hp the loan company can take the car back but if its a fixed rate loan agreement then they cant.the OR then gave my son the option to buy the car outright (the balance left on the loan for the car)which i thought was good of them but he couldnt aford it,so the OR arranged to get the car collected for auction or whatever they do with it.

PippaGirl_2

What happened to the money he'd paid abertawe1? Did he get anything back? Surely he part owned it?

abertawe1

no he didnt get anything as far as they are concerned your name is on the agreement therefor its your car and your debt .as i said they did give him chance to pay for the car but it had to be in full asap but he couldnt afford it .:o