car brought on hp needs to be scrapped

[JR1]

not sure if this the right thread, hopefully someone can assist.

 

i bought a car 34 months ago on hp. i have 2 months left but the engine has blown on it and i need to scrap it. someone mentioned to me that the finance company may take the car as it still legally belongs to them.

 

is this correct.

[hamilton669]

Hi there,

 

I've been told that once more than 2/3 of the payments have been made the car no longer belongs to the company, if scrapped you will have to finish the repayments.

 

I'll see if can find out anything else, what are you wanting to be able to do?

[tosh1]

subbing

[JR1]

Thanks for the reply Hamilton

 

i dont want to pay £400.00 for the last two payments when I cant use the car and then i have to scrap it.

[hamilton669]

also selling the car may be a better idea than scrapping it even if you only get enough to cover the remainder of the payments.

 

The company may of taken the car back (prior to the engine going t!ts up) if you were going to purchase another car, but unlikely in its current condition.

 

on having a look about it appears that every HP agreement is different as its down to the dealership/garage from which it was purchased (although of course there are basic guidelines for yours/their protection).

 

Have you contacted them?

[hamilton669]

Unfortunately the payments do have to be made, as far as i know you don't have to wait until the payments have been made to sell/scrap the car (as long as they are made).

 

The company can't take the car now but can chase you for the money.

 

Definately a major downside to paying for anything over time (atleast it was close to the end of the term)

 

I,ve been asked to ask what car and how old ( told them its not a well known auction site )

[patdavies]

Unfortunately the payments do have to be made, as far as i know you don't have to wait until the payments have been made to sell/scrap the car (as long as they are made).

 

 

You cannot sell a car that is subject to an HP agreement until all the payments have been made.

 

Although the HP company cannot repossess the car without a court order after the number of payments made by the OP, they are still the owners of it.

[Mrsmancmonkey]

Hi Pat

 

Our of interest.....How do you get round that with car dealers then? Ive taken cars in as part exchange and they have paid the car off. Ive also sold a car in the passed and paid the HP off with a bankers draft made out to the finance company (And this I was told to do by the finance company)

[patdavies]

Hi Pat

 

Our of interest.....How do you get round that with car dealers then? Ive taken cars in as part exchange and they have paid the car off. Ive also sold a car in the passed and paid the HP off with a bankers draft made out to the finance company (And this I was told to do by the finance company)

 

It needs the permission of the finance company concerned.

[Mrsmancmonkey]

That explains why they told me to do bankers draft then when doing it privately

 

Cheers