www.iva.co.uk

Hi I hope someone can help. We have to refinance the balloon payment on our car by the end of this month. It is written into our IVA to allow us to do this.I contacted payplan to find out what I need to do and they told me to contact Honda to see if they will refinance it. Honda won't do it apparently they don't finance balloon payments. I have gone back to payplan and they have told me just to go online or approach local finance companies to arrange finance. Everybody is saying no they don't do it - So I am stumped as to where to go next - any help or advice is gratefully received - thank you

I was in the same situation in Oct last year, you won't find any underwriters who are willing to refinance you (I certainly didn't). The agreement to refinance was also agreed with my IP prior to the IVA, but obviously they won't help in any way. Them (the IP) agreeing to the refinance and the prospect of it actually happening is so remote you have more chance of winning the lottery. I wish you good luck on both quests. I ended up just giving the car back and having to crawl to my work for them to hire a van for me.

Depends who your car is with, ive read on here a few times that ford can be very unhelpful. Mine was with citroen and they were incredibly helpful. I supplied them with details of my IVA my IP and a copy of my agreement showing i was able to pay the refinace balloon in stages and this was budgeted for 24 months. Citroen agreed and my IP im not sure if they got involved but i copied them in on everything, they may have had some contact with citroen but who knows. All i know is i paid the car off and its now all mine.

Hi - lots of posters on here use Duncton car finance. They are specialists in working with iva, br, ccjs on credit files. Alternatively, could a family member pay the balloon or take the finance in their name and then you pay them.

Duncton do come recommended, however you will need a large deposit and the APR is high.

I looked at Duncton recently and the typical rate is 36% and they require a min £1000 deposit on cars. But the deposit may be less as you are only wanting to re-finance a balloon payment.

Hi Molly

Do you have to refinance the balloon payment, will Honda allow you to make your normal monthly payment until the balance of the debt is cleared?

I can't see why they would want to take the car back unless it's worth more to them in the Trade than you owe!

I also think they can't ask for the car back if you have paid over a set percentage of the vehicle.

I'm no expert but it might be worth checking out.

Thanks everyone for your comments. Duncton won't refinance a baloon payment unfortunately but they will look at lending on a car if you have an IVA. I don't have a family member that has the available funds unfortunately. However I know they would if they could as they are really supportive. I will continue to trawl the internet and pick up the phone LOL!!

oh heck this sounds very complicated. I do like squids suggestion though. Why not just keep taking the payments that you were paying originally. Not something we've ever done. Never ever had a new car. Only finance we ever had we settled early (ten years ago).

If you own a property and have a bit of equity you could get a secured loan to clear the balloon. Provided the payments are not more than the HP payments your IVA would not be affected and I see no reason for Payplan to refuse permission.

Unfortunately we are in negative equity at the moment ( happy days LOL) - I have had the most bizarre call from a company that I must have gone on to their website and registered for someone to call me. This chap tells me that my loan is approved and the repayments were more than reasonable. He tells me that the money will be in my account on Monday but I don't have to fill out any paperwork and no he can't email me as that's not how they work and please don't tell anyone about them as he has done me a special favour ( as you do for a complete stranger lol). all I need to do is make the first month's payment over the phone to him. I told him it sounds a bit to good to be true and I will call them back. In the meantime I called the FSA and Consumer Credit licence team to check their licence ( I am waiting for a call back). I have called this gentleman back at the loan company and someone who is very obvioulsy overseas answered and just said 'hello' - The company he said are called Easy Loans UK *link removed* - be aware of them. At this point I can't say that anything is wrong but no-one ever approved a loan that quick and easily for me when I had an excellent credit rating LOL - they also have a banner for Yes Loans on their site I just called them and asked if they were affiliated with them and they said no. I explained that there advertising banner was on their site and the nice chap informed me I needed to speak to someone else and promptly disappearded - the plot thickens LOL!!

All I will say is to be very wary of this - if it sounds too good to be true then it very likely is!

Having looked at the website, I wouldn't touch them with a ten foot barge pole!

Hi Jan - nope I am not going to LOL xx

Don't blame you!

I am the same as antm whereby I had £2,500 balloon payment with citroen. They were more than helpful. They gave me a quote to repay it over 12 months or 24 months. It is strange how different companies operate. I didn't even mention about the IVA to them. I just wrote to them to ask if I could repay the amount owed over 24 months and within 2 days I had the paperwork delivered. This was all drafted into my proposal. I only have 12 months left then I finally own it!! But then my IVA payments shoot up for the final 18 months. I hope you find someone soon who is prepared to help you! Keep us updated with how you get on.