Logbook loan car scrapping advice

damp_squib

Hi everyone. It's my first time posting and I'd be very grateful for any advice or experience from anyone. I have seen dozens of posts regardoors logbook loans but nothing directly relevant to my situation.

I have £600 outstanding on my logbook loan which is due to be paid off next April. I've never missed a payment and fully intend to repay back what I've borrowed. The problem I have is that my car is completely knackered after the cam belt went while on the motorway. Over the last three months I've spent just over £400 on repairs plus an additional £157 AA membership to be towed off the motorway
I simply can't justify spending another penny on the damn thing! Logbook loans valued the vehicle at £600 and lent me £500 (With 12 months interest 1100).
I need the car to be collected and scrapped as i live on a busy main road and neighbours are complaining as it was towed and left several doors past my house outside a neighbours. I believe I can do this without the logbook and the scrapping company will provide the relevant documentation and notify dva?
If I continued to make my monthly payments to Logbook loans, is there any reason to fear there might be any comeback for me scrapping the car?
I don't expect to receive much for the car however I could use it to boost my repayments and reduce them by a month or so?

Anyone been in this situation?

Thanks

damp_squib

Sorry for typos!

forgotmyname

They will normally want the log book. Or they may get you to sign a form saying you are the legal owner etc etc.

The problem i can see is they will notift the DVLA of the destruction of the vehicle. Will the loan company check this every so often? If they do will they ask for the entire sum in one go and instantly?

What does the terms and conditions of the loan say? I guess its not really your car to sell or dispose of.

damp_squib

Thanks for replying. I understand that I shouldn't really do this as lbl have a financial interest in the vehicle but was willing on taking the risk just to get it off the road. It has 6 months tax and fully insured so totally legit as far as all that goes but my neighbours are hostile and I feel uncomfortable simply leaving it parked outside of their house.
The loan documents are filed away at work but I presume they would stipulate no selling or scrapping!
What could be the worst thing that could happen? The full £600 back? With scrap money and 65 per month back from what I pay insurance I would have two months repayment right there.
Could I be fined from the loan company do you think?
Thank you for your help

Vikipollard

Not sure if you could be fined or not, but there must be occasions where the drivers of vehicles with such loans on which are totalled in crashes, so there must be a way round this.

Might be worth giving one of the scrap car collectors a call. We used Cartakeback for my son's as, although no one actually said anything about it being parked on our frontage for two years without moving, he knew he'd never pay to get it back on the road after Uni. They gave him a reasonable amount (for an S reg Punto) and came and collected it from the house. You have nothing to lose by asking.

If they (or any other such company you chose) say they can't take it because of the loan, the only other suggestion I can make is to get the hostile neighbours to help you push the vehicle in front of your place. If they want it moved, they'll help, otherwise as long as it's taxed and tested they will have to suck it up as it's legally on the road!

solentsusie

If it legally parked on the road, you have tax, mot, insurance etc. and you are not blocking your neighbours access such as a driveway then there is actually not a lot your neighbours can complain about.


Perhaps if you ask them nicely they will help you push it down the road to outside of your house if it is upsetting them so much?


In the meantime perhaps it would be wise if you contact the loan company and speak to them? Disposing of the vehicle if they have a vested interest in it as you have used it as collateral for your loan is not the wisest move.

Caz3121

Thread has been dormant for a year, has been dragged up by JustDan for some reason

dealer_wins

Caz3121 wrote: »

Thread has been dormant for a year, has been dragged up by JustDan for some reason

He has the hots for logs!!