car finance

[angela18]

Hi - can anybody advise me what happens in the IVA process re car on finance. We have 2 cars as we both work in opposite cities. I also need my car as leave last minute as child leaves for school. One car is on finance the other was bought via an unsecured loan. If we didn't have cars it would cost approx £6 per day and over an hours travel to work and another home, which would have a knock on effect with childcare. [V] We haven't entered into IVA as yet, shopping around for best advise.. can anyone recommend an IVA service

[maxdebt]

We both worked and needed 2 cars like you we had one on finance and one bought via a personal loan. Both our cars were around 3 years old when we applied for an IVA. We were allowed to keep both cars. The HP payment for one of them finishes next Feb and then the payment will go to our IVA. This was all worked into our proposal by our excellent Insolvency Practitioner named Melanie Giles. If you are looking for an IP then may I suggest you try www.iva.com for impartial advice before selecting Melanie and her team [;)] Good luck

[melanie.n]

Hi there entering into an IVA with a car on hp is no problem, depending on the cost of the hp per month, as a general rule creditors do not like to see hp payments in excess of £250 per month - but if this is the case, the term of the hp can alwsys be extended to bring the monthly payments down, most hp companies will agree to this rather than have the hp agreement end. Even 2 cars on hp is not a problem, as long as you are fully aware that the hp payment will be built into your income and expenditure and once the last payment has been made to the hp company the money comes into the IVA for the benefit of your creditors thuis increaing your DI - in effect your are paying no more monies out per month, just all of it to your creditors.

Hope this helps Melanie.n (by the way i can throughly endorse maxdebts comments with regard to Melanie and her team!