This order is called “time order” and takes into account future payments and potential arrears for leases. A lease-sale contract is a kind of guaranteed loan and, as with all financial agreements that give a guarantee to the lender, it is not eligible for inclusion in a voluntary individual agreement. The first thing to do is to check if it is an HP agreement and not just an unsecured loan. There is a big difference, and many people think that their agreements are HP if they are not. This can result in problems in an IVA if the loan was recently taken out or when the vehicle has a relatively high value, but no royalty is levied. Leasing and financing contracts can be complex – please contact us if you need advice. We have extensive experience in helping clients maintain credit contracts while dealing with other debts. Cars purchased through leases may also be retained, as they are not considered the property of the licensee until the final payment has been made. Leasing contracts (HP) are not the same as credit contracts such as credit cards and private loans. To apply, we need your last full monthly statement, one month of payslips (or your last tax return if you are self-employed).
You will also need a full UK driver`s licence and the approval of your judicial administrator to take over car financing. If the HP contract was used to purchase goods that are now kept in your home, i.e. a car in a garage or furniture in your home, the merchandise cannot be removed without a court order. As the car`s financing is secure against your car if you stop paying for it, your vehicle will probably be taken back into possession. If you need the car for work or family, this is clearly not an attractive option. My financing is coming to an end and I have a package? At this point, if your company IVA accepts that you need a car, you will be able to pay the same amount to get a car on HP (you can`t pay a car with a bad credit balance sheet), but this will be at a very high interest rate, for example. B 40%, so the car must be a cheap used. If your IVA company thinks you don`t need a car, you may only have to pay all the money you paid to the rented car instead as additional payments in your IVA. They are the ones who are able to offer help and advice, while having the authority to make changes to your IVA payments. A financing option for a less perfect credit story. Your options depend on whether your IVA registration is still displayed in your credit file. The record automatically appears 6 years after the start date of your IVA.
As such, if your 5-year contract was, you are now 9 months into the 6th year. This means that your credit score will be clear in 3 months. If it was a 6-year-old IVA, your credit file should already be clear. Once your creditworthiness is clear, you should be able to get auto financing from most providers. They borrow the money to buy the car and re bourse the amount with interest over 3-5 years. Until you have made all the payments due under the contract, we own the vehicle. Once the final payment is made, you will own the vehicle. It is clear that each case must be considered by itself. The other problem is what happens when an IVA is agreed using the current protocol and when it comes to freeing up equity, the debtor has to borrow long-term at an uncomfortable interest rate, for example. B 19%.
Even if an IVA were approved, it would be better to sell the house and pay the debts rather than fight for more than 5 years and end it! The only lenders that you can consider unfavorable are those that are known to be unfavorable. These are companies that are willing to deal with customers whose