looking to replace my wifes car, we are in an interlocking IVA. The care is 8 years old and is proving troublesome. The current finance runs out in 12 months and my IVA paperwork has in that the monthly car payment will not become available as a contribution at the end of the finance as it will likely be needed to replace the car.
I have finance of £8500 lined up from Moneybarn but obvs they need IPs permission. There is about £3K equity in the car which makes up the purchase price of £11.5K. Car payment is currently £250 PCM and that will remain unchanged. Contributions and IE will be unchanged.
What do you think the chances of getting approval from my IP are?
Thanks. Making decent progress with this. Have provisional OK from IP and finance lined up through Moneybarn.
Another question though, a relative has offered to pay £4K so that we can get a better car than the one we were planning to get. I know we cant receive that as a cash gift but I was thinking that they could pay that amount directly to the dealer as a deposit and we could meet the rest with the finance.
Obvs the dealer has no probs with this but will my IP?
That might get through OK, but i have my reservations.
Playing Devil's Advocate: Were I looking at this from the point of view of a creditor (who is, technically, funding your car from reduced debt repayments) I would say that the deal already okayed is a generous enough one and, if a relative gives £4k towards the purchase, this £4k should be used to reduce the cost to the IVA of the more modest vehicle, rather than towards a more expensive vehicle.
You might be pushing your luck !
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014 http://foggy.blogs.iva.co.uk