Car Question (another one!)

user55

Forgive me, I'm just home from a night shift, I've had only 4 hours sleep since 7am Sunday morning, and my brain isn't working right. So if the question is in anyway stupid, feel free to tell me!

Right. I have in my name a car on HP which is about 2/3rds of the way through it's term. 'Tis one of those deals involving a balloon payment or handing back the car or part ex at the end. The car is actually paid for by my husband as we bought it for his business (driving instructor!). My name was used due to my better credit rating hahaha!

The business hasn't been going well, leading to no small portion of my debts. So part of me says give it up now, the car isn't worth fighting for, it could lead to me being a bankrupt with a big debt still hanging over me - stupid! Part of me thinks fight for it - it's the only way we can keep trying to make the business work.

Hubby has just asked me if he can tout it round the dealers and try to sell or part ex it and by a cheaper car for the business (and of course the new car in his name not mine!)

So can he?

Or if not, can we continue making the payments for I've stopped paying my other creditors?


It's taken me ages to type this out coherently - hope I succeeded!

Aliss

Hi, another 'other half ' of a driving instructor here!!

I can't really help with the credit question, hopefully someone else can answer it, but if you can get rid of the car (and it makes financial sense) I would recommend it.

You could then hire a driving instructor car (including dual controls, insurance etc) from sites such as Robinsons:

http://www.robinsonsgarage.com/benefits.html

with a minimum term of 7 months. That way you can still keep the business going without as much financial commitment. We've used Robinsons for over a year and can really recommend them. That avenue might be worth a look rather than abandoning the business altogether?

Sorry things aren't going well, I hope your hubby is signed to one of the forums like Driver Training Today, he'll get lots of advice and support on there from other instructors.

user55

Aliss, thank you! That gives us a 3rd option to look at! I'm getting hubby right on to it!

user55

blind-as-a-bat wrote: »

hi user55 most baloon paymant hp agreemants end up with you not owning any of the car unless you meet that balloon payment and finish the agreement unfortunatly and im afraid you cant sell it either as its not yours to sell (there are ways round this but not easy ways!)
Aliss,s comment sounds like a good alternative and i think your gut feeling about keeping the car (if allowed) as holding on to a debt being stupid makes sense but look into any penalty clause in the hp agreemant as you may end up oweing money even if you send the car back and i dont know how these would be viewed in BR
but maybe Aliss idea is your answer it would be worth looking into it:D

So should I just default on the payments as with all the other creditors? It has to be included in the Bankruptcy surely? oh god I'm so confused!

Aliss

user55 wrote: »

Aliss, thank you! That gives us a 3rd option to look at! I'm getting hubby right on to it!

Hope it all works out. By the way, you'd have to go to Leicester to pick up the car but some other places will deliver.

I can't recommend http://www.drivertrainingtoday.co.uk/forum/index.php enough, it's a goldmine of info. Good luck!