can anybody tell me about car finance Im going for a iva and the company i am with have said that I must get rid of my car that is costing me £300 per month but if I give the car back there will be more money owing on it than its worth . also my girlfriend as agreed to sell here car and split the payments with me , would that be acceptable thanks s544
I think it depends on a lot if things such as how much would get added to the IVA as a shortfall from the finance compared with how much extra would be available to your creditors by freeing up extra money by not paying the monthly payments.
One of the experts will be along shortly with some advice.
Usually, if you can afford to fund the car payments outside of the IVA, then you can carry on with them until the end when the monthly payments will then go into your IVA.
What company are you with? You can change companies before you go into an IVA, and you do need to make sure that you are happy with who you choose.
Visit www.iva.com for a list of companies and reviews and give one or two a ring. You will get free and impartial advice as to all the options open to you.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
I would change my IP company if I were you. So long as the reasons for the car are clearly explained, it is a decision for creditors to make whether you keep the car and not the IPs!
Hi
Just to echo Melanies reply, sometimes having a fairly new, reliable car for a five year IVA is actually very cost effective, no repair bills or missed IVA payments to fund a replacement car.
It will of course depend on your circumstances and it could be that your IP has good reason to ask you to lose the car.
Regards
I think you spoke to the same company that I did initially as they told me the same thing. Funnily they didn't change the advice even when I told them my car was a company car! Glad that I chose not to proceed and went with melanie instead.
On this car thing you need to have a chat with an IP and give him/her details of all your personal and financial circumstances and particulars.
Visit www.iva.com for reviews on firms and practitioners and select one or two to have a chat with.
They will give you the appropriate advice and it is free.
Regards, David Mond, Insolvency Practitioner for over 46 years. Personal Insolvency Practitioner of the year 2012, Personal Insolvency Practitioner of the year finalist 2013 & 2014 awarded by Insolvency & Rescue Magazine and 2015 finalist for Personal Insolvency Firm of the Year.
