hi all - i have a friend who is applying for an iva and she has been told by her debt co. that her car loan can be included on the iva as it is not on ho but a bank loan - is this correct and can the car company take the car back as she will be in default? sorry to go on but she is worried! i have just made my first payment and now 59 to go!!!
Yes, as this is a secured loan, the IVA isnt SO concerned with it - however, yes, the finance company will be and will not hesitate to repossess if payments not maintained...
A lot of the time, a car loan will be excluded from the IVA, and you continue paying it as normal until it is paid for, with the proviso that when it is completed, the payments you made to the car company will be paid across to your IVA on top of your original payments.
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
If it was a bank loan, presumably she paid cash to the car sales place? If so, then she should be ok and the loan will be included and she will have no problem with keeping the car.
My car was bought with money from a bank loan, and we still have it.
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 have thought that if it was just a bank loan, as long as it is declared on the IVA then the bank will simply be added to the list of creditors.......
