Hi Guys. Does anybody own a car which is currently on an option to purchase HP finance scheme? We are two years into our agreement with the three year balloon payment due in September '09. As we have recently had our IVA approved, this has caused us a great deal of worry. We feel we have been very lucky in being allowed to keep our car in the first place, but the thought of having to find additional finance to either pay the balloon payment or to have to refinance another car next year worried us as we thought this would not be allowed.
What we have managed to do though, is refinance our car a year early and negotiate a new deal with our car dealer. We have gone for exactly the same model car, but thought it would be sensible to try to save as much money as we can, so have chosen a smaller engine, thus saving money on road tax, fuel and insurance as well as slightly reducing the monthly finance payments. This has all been done with full approval of our IP, who feels it is a sensible step to secure the future success of our IVA by dealing with the refinancing issue up front rather than having a worry hanging over us which could affect our payments into the future.
For anyone with this same worry, speak to your IP, you may be surprised with the outcome as we were.
Good luck, Kazzy x
