I am about to enter into an IVA- just awaiting my creditors meeeting. i have not included my car finance within this as i need my car for work purposes. I was informed that i can not take any further credit out whiklst in the agreement. I have taken out a finance deal with the dealership to renew every 2 years which is due in April 09. I am right in thinking i will not be able to take out any further finance with them or as my car finance is still going and being paid for that It might be possible. Just need clarification so i can make alternative arrangements in April. Thanks
Your car finance payments - assuming that these relate to a hire purchase agreement and not an unsecured loan - need to be taken into account when working out your disposable income. I assume that your IP has already taken this into account.
Whether you will be allowed to take out car finance, will be a matter for your creditors to consider and the finance company to decide whether to lend to you. If you have an agreement with a balloon payment, you may be able to negotiate the payment of the lump sum by way of ongoing instalments.
