car finance on bankcrupcy

System

Mullery wrote: »

what would happen if i didnt have finace on the car and owned it outright would i still be a risk of losing the car

If you couldn't justify it and its worth over a grand or two then yes.

System

hi
theres no equity in the car
but tbh 7k for a car is. it lot if they make ubget rid av buy a banger for 1k
guanteed cost more in long run
had fer share of cheap cars in my time

n need car what realiable for kids espicall my son who is has autisim as he hates buses and walking
so wud just mean alot of taxis

luvchocolate

My car had a value of £1500 needed for work as I travel site to site.
I asked if I could keep this car as I had it from new and was reliable.
He did say the reliability is of no concern to the O.R and the value to keep was £1000, but they were very helpful and let me keep my car.
May I suggest you read all the stickies at the top of this board and the I.S website.....the more you understand the procedure the easier it is to plan.

TheGardener

Mullery wrote: »

hi
theres no equity in the car
but tbh 7k for a car is. it lot if they make ubget rid av buy a banger for 1k
guanteed cost more in long run
had fer share of cheap cars in my time

n need car what realiable for kids espicall my son who is has autisim as he hates buses and walking
so wud just mean alot of taxis

As Luvchocolate says, the OR is not interested in the longer term economics of older cars. The rules say £1000 or less unless there are certain circumstances such as a disability adapted car or the BRs work depends on it such as chauffeurs, adapted work vehicles etc. There is a bit of flexibility around the £1000 mark but to be honest - you are unlikely to be able to keep a car worth £7K.
I have to say my £900 car has been one of the best I've ever had in terms of low maintenance and reliability but I get that I was lucky.

System

ye a understand but does it no change if on hp finance
my head so mashed with it all
im
leavin my job of 9 years to look after my kids 2n 3
one who is austistic and mum who has them full time why we work cnt cope
shes plodded on for a while now cos she knows we in a mess financially but i have to finish work.

i own a home with wife we bought for 154 2 year ago
we owe 140 but beheonest a recon we get 143 144 max for it if we sold it
cos house what jack built we hate it and kids trashed placed

my plan of action was to find rented property round 800 in a gd area then vacate and put up for sale and inform morgage company and then stop paying all my debts and both of us will file for bankcrupcy

wil the op not say anyfin why rent is higher a cud get tental 3 bedroom around 600
but area is essential for me and a want detached because my sons is hard hard hard work morning noon n night
feel tight on neibours n that

did a soa what id get if we deceide to this
its the car issue whats the stinker



Household Information
Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 1

Monthly Income Details
Monthly income after tax................ 1385
Partners monthly income after tax....... 286
Benefits................................ 792
Other income............................ 400
Total monthly income.................... 2863

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 800
Management charge (leasehold property).. 0
Council tax............................. 118
Electricity............................. 70
Gas..................................... 50
Oil..................................... 0
Water rates............................. 50
Telephone (land line)................... 0
Mobile phone............................ 55
TV Licence.............................. 12
Satellite/Cable TV...................... 20
Internet Services....................... 25
Groceries etc. ......................... 500
Clothing................................ 100
Petrol/diesel........................... 130
Road tax................................ 12
Car Insurance........................... 85
Car maintenance (including MOT)......... 30
Car parking............................. 0
Other travel............................ 30
Childcare/nursery....................... 0
Other child related expenses............ 100
Medical (prescriptions, dentist etc).... 30
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 30
Other insurance......................... 0
Presents (birthday, christmas etc)...... 50
Haircuts................................ 50
Entertainment........................... 30
Holiday................................. 50
Emergency fund.......................... 50
mum owe her 13000....................... 100
Total monthly expenses.................. 2577


Assets
Cash.................................... 0
House value (Gross)..................... 0
Shares and bonds........................ 0
Car(s).................................. 3500
Other assets............................ 0
Total Assets............................ 3500

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly.. .APR
loan...........................19000.....270...... .0
loan...........................8000......250...... .0
creation.......................2000......85....... .0
overdraft......................3000......100...... .0
volkswagon.....................10000.....450...... .0
Total unsecured debts..........42000.....1155

TimeToRebuild

You need to check your HP Agreement, i was with Motonovo and they had a clause where the contact would end due to bankruptcy, i asked them if we could arrange anything but they said its policy and they need to cancel.

With regards to your SOA you cannot budget to pay back your mum as she will be treated as a creditor, you paying her will be seen as a preferential payment.

Also with regards to your life insurance if you currently have one active that will go to the OR in the event of your death, you can buy back the interest of that policy so all depends ho far into the policy you are.

The OR will also ask about how you came up with the budget and potentially justify some costs.

It is a hard process and will test you mentally however people on this board are always happy to help

System

ye thank for you reply
so if its not in contract wud the op allow it to be kept

and i owe ma mun fair bit of money
a was thinking tryin get more credit and give her some this way.
a reallt wanr me go bankcrupt not the wife behonest but we have s joint loan like 19k av tried n tried get a loan to off in just my name
but keep getting knocked back
also wud the op not say anything if i my re t was high like 800
cud get 550 600ish but area is key for me

TimeToRebuild

If its not in contract then it would be classed as an asset and due to its value they may want to take the car and let you get a car for a £1000, however this will come down to the OR and your argument for its need.

you just need to be careful as the OR will look into your finance history, if they suspect you have paid your mum then they do have the right to recover that money.

Aslong as the Rent is consistent with properties in the area you should be fine.

Again it all comes down to your OR.

System

hi rent is higher side but has be 3 bedroom and gd area
how far back do they look in finaical history
just i have gamberlin quite alot aswel
ive recently stopped it like
is this the same thing with the iva 2 with the finacial side of things

poppy10_2

Mullery wrote: »

hi cars valued at 7kish but its essential in day to day living and ye payments are affordtable like

In your other thread you said it was worth £35k, and that the payments were unaffordable like :huh:

Mullery wrote: »

car finance pcp

hi i made worst desion ever getting a new car
early into my pcp agreement with volkswagen
they told me i can sell car to one are dealers but i have to pay surplus.
car 35k new and pay 460pm
they offerd me around 25m mark
so i have to find the 10k
would they negotiate so a could pay 200 as cant afford to pay 460 now as change in circumstances