will my credotors make me sell car, not on HP

[yvette]

will my credotors make me sell my car. It is not on HP.

[Skippy]

It depends on the value of the car, and whether it is essential - travel to work, school run etc. I have a two year old Vauxhall Corsa and was allowed to keep it as I would struggle to get to work without it, and by the time it was sold and I had been given money for an alternative there wouldn't have been much left!

Four down, fifty six to go until freedom!

[rich25]

i always thought it depended on the cars value???

[finebridge]

Hi Yvette,

In my experience creditors will allow you to keep a car with low value. Your IP would explain within your proposal how essential this vehicle is (work, school, etc), it would need to be listed as an asset but would be excluded from the arrangement.
However if your car is worth a lot and costs a lot to run the creditors may see this as money that could be paid into your arrangement.

What car is it? How much is the market value?

Kind Regards

Nicola


Finebridge Ltd
22 Laud Street, Croydon, CR0 1SU
0800 180 4212
www.finebridge.co.uk

[MelanieGiles]

Cars below the value of £7,000 are generally acceptable within IVA proposals, compared to £3,500 in bankruptcy.

Make sure your IP puts up a good case for you retaining the vehicle if it is of higher value - ie you do a lot of mileage, need a decent car to maintain credibility at work or any other applicable reason.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[rich25]

It depends on the essentialness of the car. Some IP's use 5000 as a benchmark as Melanie will confirm, its discretionary.