Blue Motor Finance in Administration

skylight

Afternoon!

So, Blue Motor has gone into administration. I have been informed that the insolvency practitioners are aware of my claim under the redress scheme, and thats about it!

How is this likely to work now? I assume that I am now just a normal creditor and I will get pennies in the pound if the redress scheme goes ahead AND there are funds left in Blue Motor to pay out?

Keep_pedalling

Your assumption is correct, it will be pennies in the pound if anything. Looks like they have been losing money for a number of years.

Dstock7080

Very disappointing news to receive the letter explaining the announcement of Administration.

After following all the requirements to register a complaint, and receiving a positive response, it is unfortunate that we are not to receive the same amount as others certainly will.

capinhand

Good afternoon

I have just received a letter informing me that Blue Motor Finance has gone into administration.

I had already made a complaint to them and had an email from them confirming that my car finance agreement did contain Discrectonary Commission.

As the company is in administration I doubt that any compensation will be forthcoming.

I wonder how many more of these companies will follow suit and avoid having to pay compensation.

MSE_ForumTeam5

Hi @capinhand we've merged your thread into an existing one on the same subject

topcee2

We had same letter this morning. After all this waiting! Gutted

Penguins4ever36

https://forums.moneysavingexpert.com/discussion/comment/82090262#Comment_82090262

car finance companies and banks aren’t going to go into administration just to avoid paying you £200.

chenks76

i've also just found out they are now in administration after chasing them on the status of my claim.

I emailed them on 27th july (3 days before they collapsed), and got a reply saying it had been forwarded to the relevant dept and would get a response in due course. heard nothing and emailed them again on 29th Aug only to get an auto response saying now in administration.

So i guess i'll be getting something between 0 and nothing, assuming the administrators actually respond regarding the status of the claim.

i still haven't actually had a response advising whether it did or didn't contain the offending Discretionary Commission.

chenks76

interestingly, apparently they went into administration then were bought in a pre-pack administration process by Hodge Bank

https://hodgebank.co.uk/articles/hodge-bank-acquires-business-of-blue-motor-finance/

https://hodgebank.co.uk/articles/hodge-mf-receives-approvals-to-undertake-activities-in-relation-to-motor-finance/

https://www.slaughterandmay.com/recent-work/blue-motor-finance-on-pre-pack-sale-to-hodge-bank/

they acquired the operating business and assets on 30th july, the same day BMF went into administration. very suspicious.

so BMF are actually no longer in administration?, even though they claim to still be?

this might suggest that the new owners might be fully liable for the compensation claims?

dunstonh

i still haven't actually had a response advising whether it did or didn't contain the offending Discretionary Commission.

You wouldn't expect to with a company in administration.

they acquired the operating business and assets on 30th july, the same day BMF went into administration. very suspicious.

Not at all. It's quite normal.

so BMF are actually no longer in administration?, even though they claim to still be?

They are still in administration.

this might suggest that the new owners might be fully liable for the compensation claims?

No, they are not. They have bought the assets, not the liabilities.

chenks76

https://forums.moneysavingexpert.com/discussion/comment/82123401#Comment_82123401

yet the auto email received from BMF tells you that you will receive it from the administrators