friends Car Finance with CCJ/CO

[dragonkeeper]

 

good evening

 

INFO:

 

Someone that I know Unfortunatley but no exception in todays money market, via finance she bought a vehicle,

ran into difficulties and defaulted on the payments. cutting a very long story short the finance company has made a Final Charging Order on the her home.

 

QUERY:

 

she has been told that since the finance company has made a Final Charging Order on the her home for the debt then the vehicle cannot be reposess and the vehicle is leagally hers (even sell it if she so wished).

 

I await Guru's of CAG slendid wisdom

 

thank you

 

 

dk

[martin2006]

Has there been a ccj for the car loan yet?

 

They cannot obtain a charging order until they have obtained one.

[dragonkeeper]

 

yes

that was part of long story cut short

northhampton?

Final Charging Order form different area

 

its is very messy which involves failed IVA of which once she has pulled herself back together further query's will be made.

 

thank you martin2006

 

 

dk

[martin2006]

well, now that they have a charging order, the outstanding amount is secured against the house and not the car. The car should show as hpi clear if checked.

 

Has the finance co. stated that the car cannot be repossessed and can be sold if so wished or is your query because she has heard thats the case from say, a mate down the pub?

[dragonkeeper]

 

Has the finance co. stated that the car cannot be repossessed and can be sold if so wished or is your query because she has heard thats the case from say, a mate down the pub?

 

is your query because she has heard thats the case from CAB

she did not take any documents with her for them to make such a bold statement

i do not know if the finance co. stated that the car cannot be repossessed and can be sold if so wished

i have not seen the paper work properly myself

I will tell her to check it out first just in case.

 

thank you for your much needed input

 

 

dk

[eggboxy1]

What has likely happened is the finance company arranged a "Personal Loan" for the car to be purchased and not "Hire Purchase".

 

With a Personal Loan the Finance Company has no legal interest in the vehicle as the loan hasn't been secured against the car. Your friend is, therefore, free to do with the car as she wishes.

 

If your friend, however, had bought the car under Hire Purchase then the car would have either been repossessed (or a court order for it's possession sought if a third of the payments had been met) before any CCJ or subsequent Charging Order would have been sought.

[dragonkeeper]

 

not sure whether HP or PL

this could explain why CAB stated as they did without seeing paperwork.

 

thank you

 

 

dk

 

ps

taking son away for a few days so his mum can have a break

so my next posting will be 6/10