www.iva.co.uk

Hello Everyone,

Badly need some advice here as I'm being told one thing and another by various people.

Ok I signed a Conditional Sale Agreement with Citroen PSA for a car in 2010. All was well until I entered into an IVA in July 2011. I carried on making payments, my supervisor was aware I had this vehicle as it was for commuting to work. Beginning of March this year I was taken into hospital for appendicitus and had my appendix removed. While in there, some repo agents came and took my car for missed payments. They and PSA told me because I am in an IVA no court order was necessary despite it being stated so in the agreement. So now I'm car less which has affected my ability to get to work.

The agreement also mentions if I have paid more than a third I am entitled to my payments back if they do repossess.


Please help, calling PSA they just said the same thing, I missed 2 payments and I'm in an IVA so the agreement is terminated and that's the end of it.

You need to ask them which clause in your contract removes your rights under the clause you quoted.

Thanks very much for the quick reply.

They seem sure that once you enter into an IVA then you lose all rights, but there is no mention of this in the small print.

Cheers, I'll post an update.

Unfortunately I think they can terminate the agreement if you are in an IVA but do stand to be corrected on that.

Hi

Yes I understand from the terms they can terminate,what my point is, do they then not need a court order as stated in the terms if I have paid more than a third, which I have. They seem to be saying they do not need one because of the IVA.

That has really surprised me of Citroen PSA!!! I could not have hoped for a better company to have my HP with when it came to sorting out the balloon part! They let me extend the balloon part over 2 years and have just finished paying it off! (the only thing so far I have managed to pay in full) They were aware of my IVA and were really helpful! What a shame they have seemed followed suit of others! Hope you get it sorted!

That I don't know, you could have a word with CAB to see if they know or, hopefully, one of the experts will be on later to advise.

Citroen PSA bent over backwards to accommodate a payment package for my balloon when my lease finished, they were fully aware of my IVA and the allowance written into the IVA agreement to fulfil the payments. They could easily have just said no. This of cause doesn't help your circumstances and I do hope that you get it all sorted.

Hi bwfc326 - sorry to read about that - not what you want when you come out of hospital but I am wondering why the payments lapsed if it was built into your budget to repay? Did you lose income and could not afford it or were the payment manual and got missed. Either way, it sounds as though they are acting within their rights but with regard to the clause about payments over a third of the way through I am not sure - only they can really clarify on their own clauses. Maybe according to them the IVA supercedes any other obligation on their part but either way you are entitled to full clarity. If you cannot get it form them you may be able to get it from CAB like Jan says or even the Financial Ombudsman or the Insolvency Service.

Try and renegotiate with them if it was a temporary blip to see if you can have the car back and return to making payments - they sound like in many other cases they have been a very amenable company so hopefully you can sort something out.

Please keep us posted as I am sure others may come across ismilar elsewhere...and I do hope your health is better too.

Hi Tina S

Thanks for your reply.

I have just spoken to someone at Citroen PSA.

He states that my being in an IVA supercedes, therefore waives any of my statutory rights to a court order.

I am not convinced so I'll make an appointment to see the CAB.


Have you heard of this before?

Are you in a union at work, if you are give there solicitors a call its free.

I've not heard of it but nothing surprises me with creditors sometimes.

If CAB can't help then most solicitors will give you a free 30 minute consultation so you could try that.

Hello

A response from a legal expert.

Unfortunately if you have defaulted on payments and are in an IVA then it is very likely that under the terms of your HP agreement the finance company are entitled to repossess your car without the need for a court order.

If you are able to make up the missed payments and have been meeting payments recently then you may be able to negotiate with them to let you keep the car but they are not obliged to agree to this.

So if your in an IVA then you can have your vehicle repossessed and your statutory rights are waived.

Hope this is of some help to others.

Thanks for the update bwfc326 - good for others to be aware of. I hope, if you want to have your car back, the company will be flexible and come to a new arrangement for you.

Not good news for any one with a car on HP and in a iva.

would any money left owing on the car, now go into the iva?