Replacing a vehicle

ami66

Anyone have any experience of getting a new vehicle during an IVA?

By new I do mean an old old second hand car not a shiny new one fresh off the garage forecourt!

Hubby's car needs some serious work done which we don't think is economically sound, he travels 26 miles a day for work plus extra for work related trips so needs a reliable car. He's currently using mine as I only drive 4 miles a day for work, not a long term solution as he hates my car with a passion and his won't last if we don't get the work done.

We think we could get £200 for his plus his mum is willing to lend us a up to £500 to pay for the replacement. We expect to spend no more than £600 which is the value placed on his current vehicle in our IVA agreement.

Obviously would ask first but wondered if anyone had experience off this and the best way to put it to the IP?

UpToMyNeckInIt

Your IP may allow a payment break (or 3) for this type of thing - particularly if repairing your existing car is not economical.

Good luck.

FiatFan_2

we enquired about changing ours, cars are normally exempt assets so you can change them when you want. As uptomyneckinit suggests your IP may allow you a payment break to afford one or as you suggest trade in plus parental money. Asking to gain credit for one will result in a straight no based on our experience, even though we weren't getting new credit (transferring existing from one car to another) wasn't allowed.

I'm saving up now as mine won't make it through next MOT without serious work that's uneconomical against the car value, just scraped through last MOT so content just now.

Good luck, am off to autotrader lol

ami66

Thanks guys

Should be able to manage without a payment break, don't want to do that so soon - we're only on month 2!

Not looking for credit as we plan to use cash from car sale and borrow from Mum-In-Law, should be able to pay her back at least £50 a month from increase in wages due to new tax allowances from April

Think she may even give us some cash as she's been practically begging to help us out financially as she bailed out her daughter who then went bankrupt. MumIL feels she 'owes' us bless her :rotfl: think the SIL is going through her inheritance while her parents are still alive the amount she's borrowed from them and not repaid over the last few years!

Worse case IP won't lets us change it so it will sit on the drive with a SORN declaration and I'll walk to work and pay for the groceries to be delivered, that way we can keep all the budgeted expenses for having two vehicles! :T

UpToMyNeckInIt

Smart thinking there ami66.

We have become a 1-car family and with a little planning it really is not that much more inconvenient.

I often cycle to work now, and have come to really enjoy it, and I've lost 9lb in weight as well. (I even saved enough on running the second car to buy a nice new bike).

If you live within walking distance of work, and even if you pay for grocery delivery, you will make a massive saving over running a second car.

Keeping the old one SORN to keep the allowance is cheeky (I like it though!).

ami66

UpToMyNeckInIt wrote: »

Keeping the old one SORN to keep the allowance is cheeky (I like it though!).

Well if the IP won't let us change it and it's not economical to repair I would be stupid to sell it as I might then have to hand over all the money as a wind fall :eek:

I researched a lot before hubby and I went for an IVA and I've come to the conclusion that you ask the IP permission for everything first and don't break any of the rules in your agreement but you can sure as hell bend them

Luckily my car is cheap to run just £30 yearly road tax, £200 insurance and does 40 miles to a gallon so I manage on £10 diesel a week, meaning we can afford to run the second vehicle.

I could walk but the joys of living in the West Country means that I would have to walk a mile down a muddy, unlit, non pavemented, unclassed busy road not very safe and very mucky when I need to be smartly dressed.

When we were in the planning stages it was suggested hubby use public transport but to arrive at work at 8am he had to catch a bus at 11.43pm (YES PM ie the night before!) :rotfl:

And if he worked a late followed by an early he couldn't get home before he had to leave again :laugh:

FiatFan_2

ami66 wrote: »

Well if the IP won't let us change it and it's not economical to repair I would be stupid to sell it as I might then have to hand over all the money as a wind fall :eek:

I researched a lot before hubby and I went for an IVA and I've come to the conclusion that you ask the IP permission for everything first and don't break any of the rules in your agreement but you can sure as hell bend them

Good thinking :T

ami66 wrote: »

Luckily my car is cheap to run just £30 yearly road tax, £200 insurance and does 40 miles to a gallon so I manage on £10 diesel a week, meaning we can afford to run the second vehicle.

:eek: jealous! that's partly why we wanted rid of our 29mpg guzzler

ami66 wrote: »

When we were in the planning stages it was suggested hubby use public transport but to arrive at work at 8am he had to catch a bus at 11.43pm (YES PM ie the night before!) :rotfl:

And if he worked a late followed by an early he couldn't get home before he had to leave again.:laugh:

lol think my OH would be the same with her shifts

milliemonster

One thing to think about is if your mum gives you £500 towards a car, your ip will seize it into the iva as it will be classed as a windfall, instead you would be better getting your mum to buy the car, so no money actually falls into your hands

UpToMyNeckInIt

I believe the OP will be OK either way as this is a 'gift' not a 'windfall'.

An IP advising on another forum stated that they are:

‘Entirely different things…A windfall is something you gain an automatic right to, a gift is something which you derive benefit from at the choice of another individual…You don’t need to declare gifts as they are not windfalls’.

Hope this helps.