They intend to terminate my car hp agreement

[Adam Davies]

Hi
You are so right Melanie.
We have a vehicle[IVA] that allows people who are insolvent to repay as much as possible over five years with the majority of creditors agreement as opposed to bankruptcy where creditors have no say.
Yet IVAs get bad press and are called "bankruptcy light" and an "easy" option.
Where has it gone wrong ?

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[Endsmeet]

Thanks for all your advice, can I ask a question?
In your opinion do you think that Black Horse will not move on their stance and try and repossess my car?
If I offer them the full amount owing do they have any legal right to say no and carry on with their threats?
My only option if they carry on with their actions, is to ask my parents to pay off the remaining amount which is something I totally don't want to do for a number of obvious reasons.

[Storm]

There are two possible stances -

1. Yes they will allow you to continue to pay and will only seek to obtain a Return of Goods order if you fail to make your payments.

2. Alternatively they could say no they want to realise there agreement / cut there loss. In this case you should not pay the full amount but a settlement amount (however legally once they terminate the agreement they are not required to give a reduced settlement figure).

In essence if (2) is there decision you shouldn't have to pay the full amount because you have been charged interest on the full loan period at the inception of the agreement so in effect you would be paying 18 months too much interest if thats what you have outstanding on the agreement.

My opinion - if Blackhorse do agree to (1) you need to confirm the conversation with Blackhorse in writing by recorded delivery. This will make it more difficult if they decide to change there minds in future. The key to resisting any future Return of Goods order will be you continued timely payment.

[n_b]

Hi there,

we are in the process of setting our Iva up.. and I asked this question the other day would I loose cars.. we have 2 cars on HP Hubby's has 7 months left on his and I have 3 years . Again problem comes we both need are cars hubby is a paramedic and travels some distances and some ungodly hours, i need mine as no public transport to work @ 6 in the morning.... I don't know what we would do if we lost the cars... oh hubbies car is with Black horse (what a surprise... mine is with British Credit Trust)

[Storm]

BCT are easier to deal with - they don't want your car back unless they really have to.

With the limited time to run on your husbands car I doubt they will have time to recover it.

Key with both these lenders keep upto date or let them know immediately if you are struggling.

[n_b]

Hi Storm,

Both are upto date and will be included in Iva so no problems with payments. Am I best to tell them we are entering IVA or just say Nothing??[?]

[Endsmeet]

Hi Storm,
Thanks again for you advice and opinion.
I have spoke to my parents and they have agreed to pay off the outstanding amount with a lump sum and basically get them off my back and let me get on with my IVA with no further problems.
(This is my only secured credit agreement so that will be that)

This to be honest this the best option I think for me rather than have to worry if they change their mind anytime in the future.
I will inform my I.P.that the car H.P. has been paid off and that I will pay the monthly amount into my IVA agreement.

Just one thing, my I.P. won't class this as a windfall will they?

[aguise]

Great news endsmeet. Arent mums and dads great.
Stop worrying x

Ang

Please visit my blog at http://aguise.blogs.iva.co.uk/

[MelanieGiles]

NB - there is no need to tell the HP companies about your IVA.

Endsmeet - I would use your parents offer as a last resort, see how far the HP company are prepared to go. And also see if they are prepared to present this to creditors on the basis that your parents have subrogated the Black Horse debt, so they ought to be entitled to receive the HP payments as repayment of their loan. The other creditors may not agree to this - but they might, so it is worth a try.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Endsmeet]

Hi Melanie,
Yeh, I may as well try what you say, I will ring them in the morning and go from there.

Thanks again

p.s. Mums and Dads are great, just don't want to let them down anymore

[MAY2006]

Hi Endsmeet
Get your IP to ring Blackhorse, my husband received exactly the same letter when our IVA was accepted from Blackhorse. His van which he needs to work as he is self employed was not included in the IVA and we continue to pay for it.
Blackhorse have in their T & C's a clause about IVA's and this is why you have received the letter. My IP contacted them and they withdrew the threat. Also like you we had paid 22 months of a 48 month agreement.
I'm sure you will be okay but contact your IP on Monday

[Adam Davies]

Hi
Well that must be reassuring for you Endsmeet,thanks to MAY2006.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[Endsmeet]

Hi,
That is good to hear from someone who has actually had the same, my parents have just again confirmed that the money will be available should I want it so pending on B.H. answer I should be ok either way.
Thanks again

[ray_a]

I guess I cam here a bit late but I think the IP supervisor should have protected the position here by refering this in the IVA.

I think someone needs to do some more thinking here!

Secondly, why do Lloyds want a vehicle if there is a good sign of the debt being paid! A futher thought is arising and I think the Banks are suffering from a bad liquidity crisis at the moment given the hit they took last week on the markets. The financial press were full of it yetserday,

Obviously good luck and keep us posted. I am sure it will get sorted.

[MelanieGiles]

Can you explain what you mean in your first point please Ray?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk