Nearly at the end - car question

Nearlyattheend1

Hi all, looking for a bit of advice.

I was declared bankrupt some time ago and I'm nearly at the end of the bankruptcy.

My husband had a car on HP and he sold it to my mum, as we couldn't afford it anymore, we have proof that she paid and bought the car). I have always been the registered keeper for this car although it was in my husbands name. At the moment I am still the registered keeper of the car (only because my mum has just had a double hip replacement and can't drive it for some time)

Will the bankruptcy company assume the car is mine and force me to sell it?
Thanks for any advice.

TheGardener

If you are a discharged BR and do not have an IPA - the car and who owns it is academic, you are no longer BR.

Nearlyattheend1

Thanks for your reply. I was discharged of my BR nearly 2yrs ago now. I only have 1 more month left of the payments to the insolvency company. I know that at the end they look at what assets you have, mortgage, trust funds etc.
I didnt know if they would think that the car is an asset and mine because i am the registered keeper at the moment?

TheGardener

My understanding with vehicles is that being the registered keeper is not proof of ownership. If you can prove the car is owned by your Mum then that's fine.

alastairq

I was discharged of my BR nearly 2yrs ago now. I only have 1 more month left of the payments to the insolvency company

You are no longer BAnkrupt....and haven't been since you attained Automatic Discharge.

The payments you make are a surplus-based IPA....so are based on whatever surplus income you have, over and above, your SOA

[Don't forget, if you have any changes which affect your financial circumstances, inform the OR within 21 days, and the amount of the IPA payments may be adjusted up, down, or even returned to zero.]


Nothing to prevent you buying a car, once AD has been reached....

[The only time someone has to worry, is if the Official receiver has sought to have Discharge suspended]

Nearlyattheend1

Thank you for your reply's.

The paperwork my husband has is a letter from the HP company to say that the balance has been paid off. He also has a copy of the letter & cheque from my mum to the HP company.

woodformoretrees

You are discharged though.....did you get AD after as year? When you say your bankruptcy is coming to an end I think you mean your IPA is coming to an end. If they wanted to sell your car they'd have done it at the start, not three years down the line. I think?

Nearlyattheend1

Thank you.

I was AD 1yr after being declared bankrupt. The insolvency company took a copy of my husbands HP paperwork for the car to show it was in his name and not mine (although car was registered in my name)

I am very worried that they may think the car is mine because I'm still the registered keeper.

alastairq

As everyone has said, once Automatic Discharge has been achieved [always comes 12 months after date of petition].....aside from property, other sorts of asset are 'safe'....

You have shown you are not the owner..[the HP company is actually the 'owner'....so it is neither your husbands, nor your, asset! ]....and the OR is well aware of the fact that the Registered Keeper does not imply ownership.

The OR will only default to the V5c if actual ownership is very much in doubt [ie, it cannot clearly be shown whose asset a car actually is?]

If a car is deemed an asset in Bankruptcy....[and exemption cannot be shown]....then it would 'go' within the first 12 months after date of petition.

The car in this instance is safe.....after all, it isn't 'your' asset.

Rrushi_Shqiptar

As already stated earlier. The name on the V5 does NOT mean that the keeper of the vehicle is the owner. Proof of ownership can be provided so no need to worry.