We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

Blue Motor Finance in Administration

2»

Comments

  • dunstonh
    dunstonh Posts: 121,829 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker

    If it becomes clear that there are sufficient assets to raise funds to pay the minor creditors, then they will. If there are not, then it will be a very different letter. Plus, as everything is on hold still, there is no hurry for them to do anything. They have more pressing matters to deal with.

    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • the whole administration of BMF stinks IMO.
    they go into administration and the very same day a pre-pack administration process by Hodge Bank is completed acquiring the operating business and assets.

    seems rather quick and suggests, IMO, that this was pre-planned for BMF to continue (albeit under a new business) without any of the liabilities they have. it's been reported they've been losing money for years, and this compensation claim process was the final nail in the coffin.

  • MyRealNameToo
    MyRealNameToo Posts: 5,149 Forumite
    1,000 Posts First Anniversary Name Dropper

    Hu? You understand how companies work? Their shareholders, potentially including their directors (though they will be minority shareholders as is owned by a larger corporate entity) have lost all the value they held in the insolvency.

    The new owner, hodge bank, is predomaintely owned by a charitable foundation and so if they do turn it around the majority of profits will go to cancer research and welfare support as the foundation owns 75% of organisation

    The directors, probably transferred now, are probably not going to be in their jobs too long given they oversaw the failure of the company but are needed initially for continuity

    Really not sure what clandestine activities you think were going on? Hodge was a creditor to BMF so knew the business. They took the opportunity to buy the good bits when the business failed. Administrators didnt think they could achieve a better price, factoring in cost of selling it, plus its an unrelated party so the deal happened. The insolvent company now has more monies to pay towards its creditors.

Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 355.5K Banking & Borrowing
  • 254.8K Reduce Debt & Boost Income
  • 456.1K Spending & Discounts
  • 248.1K Work, Benefits & Business
  • 605.6K Mortgages, Homes & Bills
  • 179K Life & Family
  • 263.4K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.