Work lease car scheme?

[Stephanie.sn]

Hi I am considering an IVA. I have spoken to payplan who seem happy to include my work lease car in the plan. I pay a monthly amount towards it but it is in works name. This lease ends in 1.5 years time and I was hoping to get another car on the scheme through work. The money comes off as a salary sacrafice so I know there will be no problem with the lease company as no credit checks are done but how would I stand if on an IVA would my creditors allow another lease scheme of the same or reduced amount as I need the car for work. Sorry if Im rambling

[MelanieGiles]

I am sure that they would, as it is vital that you have a suitable car to get to and from work.

[luluj]

As Melanie says without it you won't be able to continue your IVA and then your creditors will be worse off.
I would suggest that when the proposal is written for your IVA it has a sentence in this that informs the creditors that the current lease ends but it will be renewed under the same arrangements.

[kazzafunk]

I agree with Liz - it's essential that you cover this in your proposal so that you don't have to go down the variation meeting route in another 18 months time.

The only other thing I would add is it's best to speak to 2 or 3 companies in relation to your debt problem. It's a 5 year relationship and you need to make sure that you feel comfortable with who you choose. There are some excellent companies (including payplan) who have representatives on this forum. You can find their details on the ask the experts a question section. You could also check out their ratings on www.iva.com

Good luck with your application. Let us know how you get on.

[kallis3]

Hi Stephanie,

I agree with all the advice above. I think you will be fine but do make sure it is written into the proposal.

[MerlinL14]

I had such an agreement written into my IVA and approved by my creditors. It was a non event when the lease was up and I needed to replace my vehicle.

[Stephanie.sn]

Thank you so much everyone for your helpful replies. I stupidly hadnt thought to have it agreed before hand but that would indeed lessen any stress.

[;)]

[ray_a]

Might be worth check with a car credit broker to see whether you being in an IVA might affect you. When I changed my car it had an effect on my credit but as I cleared my original HP they took that in consideration and helped me. That was with British Credit Trust who were helpful.

[kallis3]

There are a couple of car companies that can help people in an IVA. Moneybarn and Carloans4U comde recommended.