Worried about losing my car...

carloshoodios

I have my court appointment tomorrow for my bankruptcy hearing. I went to law school and took out an unsecured loan with Natwest for £25000. Unable to get a job afterwards (and realising being a solicitor wasn't my cup of tea) I was unable to make the repayments and ended up retraining as a teacher.

I am starting this week as a supply teacher and have a Corsa which my Dad paid for on his CC about 4 weeks ago at a cost of £1800. I have no other assets at all apart from this car which I haven't even started to repay yet. Is there a chance they will take my car?

Thanks.

PippaGirl_2

Is it in your name? One option might have been for your dad to buy it and you use it.
Does he have proof he paid for it?
If you can prove a need for a car (which it sounds like you could, a supply teacher needs to go here there and everywhere) a car would be exempt however as a basic guide they only allow values up to £1000 though I have seen several people here manage to keep cars of up to £2000 if you happen to hit a benevolent OR.

carloshoodios

PippaGirl wrote: »

Is it in your name? One option might have been for your dad to buy it and you use it.
Does he have proof he paid for it?
If you can prove a need for a car (which it sounds like you could, a supply teacher needs to go here there and everywhere) a car would be exempt however as a basic guide they only allow values up to £1000 though I have seen several people here manage to keep cars of up to £2000 if you happen to hit a benevolent OR.

Yeah the car is in my name but my Dad has proof that he paid for it if that helps? The insurance is also £800 on the CC and I haven't paid any of that yet. I can't imagine getting a good enough car for £1000 that would be reliable enough for my job.

Oh and does the OR look at the reason for the bankruptcy and does it have any bearing on their decisions? For example, I didn't gamble or drink it away (extreme example).

PippaGirl_2

Some people may say he owns it and has lent it to you and it is registered in your name for insurance purposes. Registered Keeper doesn't necessarily mean owner as it clearly says on the log book.

There is a section on the BR forms where you explain the reason for the debt, another thing the OR would take into account was if they deemed to increase your debt unecessarily before BR, say going on holiday paid for by credit card.

Have you taken legal advice? If not do phone one of these two options to gain advice, the court would expect you to have obtained legal advice before making such a big decision.

Consumer Credit Counselling Service - Website: CCCS Telephone: 0800 138 1111
National Debtline - Website: National Debtline Telephone: 0808 808 4000

ILW

If you owe 25k and are still living at home, you could repay in a couple of years without going bankrupt.

jan9912

No they wont take the car you can say you need it for work.

carloshoodios

PippaGirl wrote: »

Some people may say he owns it and has lent it to you and it is registered in your name for insurance purposes. Registered Keeper doesn't necessarily mean owner as it clearly says on the log book.

There is a section on the BR forms where you explain the reason for the debt, another thing the OR would take into account was if they deemed to increase your debt unecessarily before BR, say going on holiday paid for by credit card.

Have you taken legal advice? If not do phone one of these two options to gain advice, the court would expect you to have obtained legal advice before making such a big decision.

Yeah, I figured it might not be viewed as my car because technically I haven't paid for it. I have taken legal advice already but thank you for the contact details All legal advice I received suggested bankruptcy was probably the best option given my circumstances.

carloshoodios

ILW wrote: »

If you owe 25k and are still living at home, you could repay in a couple of years without going bankrupt.

Hmmm...true...however I don't intend to be living here for much longer as it isn't fair on my parents. Also, I am pretty sure my credit rating is already shot to pieces from not making my loan repayments.

PippaGirl_2

They may view it as yours. Did you say on your forms it is yours in the asset section?

All the best for tomorrow anyway.

carloshoodios

PippaGirl wrote: »

They may view it as yours. Did you say on your forms it is yours in the asset section?

All the best for tomorrow anyway.

At first I had it filled in as my Dad's, then I thought about it and changed it to my name. What would you advise?

Edit: Oh and thanks

PippaGirl_2

If its your Dad's car, don't include it as an asset, if it's yours then include it as an asset.