HP approved without evidence of salary

tonycottee

I'm sorry, but all this doesn't sound quite right. 1st if all you say that he had just received a pay rise and and a bonus. Then later on you say that this was his first month paid by the company.

The_Boss

opinions4u wrote: »

Sell the car.

Pay the debt off.

Only one person to blame here.

Any sensible person doing a vehicle check will see that there is HP outstanding and avoid like the plague.

Given how he lied about his income, I wouldn't trust him to use the proceeds from a sale to pay it off in full either.

Brock_and_Roll

There is nothing usual in no asking for proof of earnings for an HP agreement. This is in effect a deferred sale - the car is still owned by the finance company who can take it bak in the event of default.

The lenders models tell then that as long as the person's credit record is ok, they are on the electoral roll and are working then statisitcally their "loss given default" will be very low.

As previously suggested by another poster, I would one way or another struggle to the point where he has made 50% of the committed payments, then do a voluntary termination (i.e. hand the car back with no credit record impact).

SeanG79

Depending on the information revealed in the credit searches, many lenders dont ask for proof of income.

claret_mike

Wow... I wonder how people dare ask for help on here sometimes?

Some people seem more intent on getting the "told you so" in than actually just answering the question or looking to help.

My first car required a copy of a payslip for the HP.

When I first started working, I didn't really understand how bonuses/salary would affect a credit decisions. You don't know what questions were asked. It could be something along the line of how much was your last wage or what will you earn next month etc.

I recently had a college leaver at work upset because she didn't understand VAT would be added. She was confused why she wasn't taxed at the start of her income etc. There are lots of unknowns when you start working and enter the real world of finances.

This person is an apprentice and hopefully will learn as a result of this but what benefit does it bring to the post when all people can do is point out things which the OP had no control over?

meer53

I've never been asked for my salary details either.

sharpy2010

claret_mike wrote: »

Wow... I wonder how people dare ask for help on here sometimes?

Some people seem more intent on getting the "told you so" in than actually just answering the question or looking to help.

The reason people are so quick to say this is because more often than not the original poster is trying to blame someone else for something that is clearly his/her fault.

People who blame others for what any reasonably person could clearly see is their own fault are causing an endemic problem in this country at the moment.

STOP BLAMING OTHERS FOR YOUR OWN FAULTS!!!!!!!!

michael1983l

DS_Queen wrote: »

This was his first month paid by the company (he's an apprentice) and he believed the amount in his pay packet was what his monthly wage was going to be. Unfortunately, the next month he realised his mistake.

I only wanted some advice. All I wanted to know was if they should have asked for proof of earnings!

So he got a bonus on his first ever pay cheque. Sadly I find that very hard to believe.

sharpy2010

michael1983l wrote: »

So he got a bonus on his first ever pay cheque. Sadly I find that very hard to believe.

I think the OP is telling lies.

chesky

It's illegal to sell a car on a HP agreement - it doesnt actually belong to you yet.