www.iva.co.uk

I have a car on finance which i can afford to pay will this be affected if i apply for an IVA

Hi Jeff - welcome to the forum. If you need the car for work then there's no reason why you shouldn't be allowed the HP payment as an expense (as long as it's reasonable!). Once the car is paid for, you would be expected to add the HO amount to your IVA payment as this would in effect be more disposable income.

Have you contacted anyone about an IVA yet?

Hi! You should be ok with the car. Your IP will advise when they have all your details. If you have a balloon payment, you may find it difficult to re-finance so make sure you have a back-up plan. Good luck with your proposal x

Is the finance an HP agreement or an unsecured loan(check your agreement)? An HP agreement can often be paid alongside an IVA but if the finance is an unsecured loan then you would have to stop paying it and the loan would be included in an IVA.

Paul

If the car is genuinely required, and it is reasonable for purpose (e.g. you haven't got a £50k Porsche!), then it will probably be included in the IVA as a preferred creditor, i.e. you will be allowed to keep up your full payments to them. However when the finance finishes, you will pay that monthly amount into the IVA.

Hi Jeff - welcome to the forum.

AS Paul says above, it depends on the type of finance as to what will heppen with it but either way you will not be left without your car. A full income and expenditure will be done to ensure your income covers all your living costs including the car if the payment is secured to calculate what disposable income you have left to offer the creditors. If the payment to your car finance is particularly high creditors may request you move to a lowe cost car but that will better understood once you have had a chat with a couple of companies.

regards,

Tina,if its an unsecured loan and therefore included in the IVA can the lender repossess the vehicle?

Paul

Hi Paul, an IP will only allow a car finance to go into an IVA once they are absolutely sure it is absolutely unsecured i.e no clause allowing repossession of the car.

regards

And if there was to be a risk to the car,I assume the IP would try to keep it out of the IVA and allow it to be paid as normal?

Paul

41 months in and still asking questions!!!

Absolutely, but of course I cannot speak for all IPs!!!

Regards,

Thanks Tina,oh have you done that dancing on the table malarky that you promised us???

Paul

font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by plasticdaft

Thanks Tina,oh have you done that dancing on the table malarky that you promised us???

Paul

We will, of course, require video evidence [:D]

Ha Ha - I did a tribal jig at my desk, my desk is rarely free from paperwork so there is a sure accident waiting to happen! I go about my life the same way I type so you can imagine.... Video evidence.....not a chance!!!!

lol!!!

Who says insolvency cant be fun!!!!

Paul

[:D][:D]