Car on Finance - no contact

FLOHENBEA

Hi

I am just looking for a bit of advice, I was made bankrupt on 8th January. I have a car on finance and the OR wrote to the finance company on 18th January. I was advised to wait for correspondence from them, however I am yet to hear anything.

Should I wait, or should I call contact the car finance company? I don’t want to if I don’t need too, although in the terms and conditions it says the contract will be cancelled if made BR.

Just to add I am fully up to date with payments.

Thank you

TheGardener

Unfortunately the reality is that the contract probably will be cancelled and there isn't much point paying for a car you are probably going to lose. Does seem to be taking them a long time to sort it out though?
Have you stopped making payments?

FLOHENBEA

Thanks for coming back to me, and yes part of me feels the same way about paying for a car I will eventually lose. However, my wife uses it for the 3 kids to get them to and from school which is why I have continued with paying for it.

The only other option, my family have offered to buy the car for my wife. So she’d be the legal owner of it, if that was a possibility of course? I feel I’m just delaying the inevitable but surely it lays with the finance company to take next steps rather than for me to chase them?

All very confusing!

TheGardener

If a car is gifted to the family then its fine, if your wife is not BR she does not need permission to have a car - its not classed as an asset unless its yours. Make sure the family keep proof they bought the car in case the OR asks to see it. (bill of sale plus bank statement - that sort of thing)

I'd stop paying for the lease, it maybe the fact you are still paying is why they haven't acted yet. If the family can help out then go with that and then just take the leased car to the garage forecourt, give them the keys, get a signed receipt and leave. BR is all about moving on...

maxmycardagain

stop paying the finance, the IS will see them as a preferential creditor.

keep it insured/taxed and use it till the repo man comes. save the payments towards a a cheap runaround

FLOHENBEA

Thank you, this was what I was told by OR after my interview.

“During the telephone interview we discussed your car which is currently on HP with Clydesdale Finance. I have sent a letter today to them to see what they would like to do with the car. You will receive correspondence regarding them in due course.”

Gave me the impression I should continue to pay as normal until I hear otherwise and she didn’t tell me to stop paying them at the time. I have contacted the OR and they just confirmed the he written to them and I could contact the finance company if I would like to.

James

maxmycardagain

FLOHENBEA wrote: »

Thank you, this was what I was told by OR after my interview.

“During the telephone interview we discussed your car which is currently on HP with Clydesdale Finance. I have sent a letter today to them to see what they would like to do with the car. You will receive correspondence regarding them in due course.”

Gave me the impression I should continue to pay as normal until I hear otherwise and she didn’t tell me to stop paying them at the time. I have contacted the OR and they just confirmed the he written to them and I could contact the finance company if I would like to.

James

call em, your HP agreement may include a BR section and repossession upon BR, or they may not want it back, its really upto them now

FLOHENBEA

Update.

OR has disclaimed all interest in the car, called Barclays Partner Finance to discuss what happens next, repossession etc. They said that as all my payments are up to date they are happy for me to keep the car as long as I keep making my monthly payments- not the answer so was expecting. Car payments accounted for in my SOA and OR fine with it too.

Thanks all.

TheGardener

Result all round then

maxmycardagain

And they all lived happily ever after.... lol