www.iva.co.uk

Hi, my husband has an IVA & all payments now made. Our a car is on HP with a £1500 balance remaining. We were contacted by the Insolvency Practioners & asked for the HP balance & told they would make an online valuation of the car & that if any equity we must pay this sum into the IVA. My husband said he refused an online valuation as the car has been in an accident & has damage. They went ahead anyway & sent him a letter stating the car was woth £2700 so pay the £1200 by December 1st. We had the car valued independently and it was valued at under £1000 so in negative equity. My husband also gave the I/P's a further £2000 compensation he was awarded after an accident. Since signing the IVA we have had 2 children and never asked for the payments to take this into account. Now I am on unpaid maternity leave we simply cannot afford to pay anything back now and don't think we should if the car is not woth what they say. Can anyone help?

Hi an expert will be along shortly to better advise you. What kind of car is it and what year?

X

thank you, it is a Nissan Almera S 2003

Very strange for an IP to want the equity in a depreciating asset introduced into an IVA. Has your IVA been accepted by creditors and, if so, was provision made for this in the proposal or by creditor modification?

Was the value of the car not decided upon at the beginning of the IVA?? There is a big difference between the 2 valuations so can they not accept an average of the 2?? They would seem to be trying to get more out of you,perhaps you would be better giving back the car if the IP thinks its worth that much more than it is!!!

As for having 2 children I dont think that is allowed under an IVA!!!!


Only joking. You could really have amended your I&E as you would clearly be spending more with extra mouths to feed.

Unforunately the windfall that was a compo payment would have had to go to the IP anyhow so theres not much you can do about that.

Hope you get things sorted.

Hi many thanks for your responses with this. The car was noted in our IVA and they stated at the time we may lose it. The car was £10750 brand new. Top book for a car of this year and make is £2400 so even immaculate with low mileage they are out by £300. I put it to a very well known reputable Nissan dealer who offered £950 to trade it in and then sent it to a very reptuable Motor accident and repair shop who said it would only be worth £800 as the damage to the body would cost £1675 to repair. I have now sent this info to the I/P's. I agree with prev post, I think they are just trying their luck to see what they can get but as our HH inc has dropped £550 per month now due to my leave, we cant afford to pay them anymore. My husband stated to them in his letter that if they thought they could sell the car for £2700 to go ahead and then give us back our £1500 for Nissan. Waiing for response but its very stressful

Sorry, yes, all creditors agreed to the IVA without any problem. This is why after giving the extra £2000 it seems strange they are still after us for more.

Very strange indeed! I have never offered or been asked to pay over equity in a car in any of my client's IVA proposals.

I hope you get this sorted. I too think this is high for the type of vehicle - not dissing you car by the way!

I think they must be looking at forecourt prices and we all know that these are lowered once you express an interest.......