Deceased Father - PCP Car Help

[Williamsonr3]

Good Afternoon Everyone,

 

Unfortunately and unexpectedly my father passed away last Friday due to a motorbike accident.

 

 

At present I am tying up his finances and have come to a bit of a grey area for myself which I am hoping someone can help me with.

 

Last July my father purchased a brand new car on PCP with Black Horse (through Arnold Clark)

 

 

- I will list all details;

 

Cash Price of Goods - 18,077.49

Total Amount Repayable (inc. hire purchase charge) - 22,409.11

47 Monthly Payments of - 319.13

Final Optional of - 7,410

 

So far he has paid - 3829.56,

the car has a guaranteed future value as listed on the agreement as - 7,112.

 

 

Black Horse have given a settlement (automated) of - 15,688.29 which I cannot work out where they have got that from

and until they receive the death certificate I have posted them, rightly will not discuss the account.

 

The options I have been given are; purchase the car outright

(no need I already have a perfectly good car),

sell the car myself and pay any shortfall

or let them sell the car for me at auction.

 

I am at my wits end on this as the resale value of the car is probably only about 11-12k tops (less at auction)

and I am trying not to get the shortfall taken out of the estate

as the money will be needed elsewhere for funeral and lawyer costs.

 

Can someone clarify the halves and thirds rule on this,

i.e. will I only have to sell the vehicle to cover half the total payment value (11,215.81)

or is it the total value owed on the vehicle at the time of settlement figure?

And is there any other options open to me?

 

As always any advise is appreciated and if you have any questions in relation to the agreement I have it hear with me.

Thank you all kindly.

[dx100uk]

pers i'd see what BH want to do.

 

this bit is interesting

 

So far he has paid - 3829.56,

the car has a guaranteed future value as listed on the agreement as - 7,112.

 

that sort of tallies with the figure you might owe if you VT the car

[my recommendation]

 

but don't offer this

await and see what BH say

if they say we'll come and get the car and call it quits

[which I know they have done on the death of the HP customer]

 

and they state in writing they will not want anymore

 

then it saves you £7K over VT.

 

keep us informed

and DO NOT DO OR SIGN OR AGREE to anything they suggest

without coming here first

 

I take it you are the exec?

[Williamsonr3]

Hey mate

- yeah I am th exec (just awaiting the paperwork from the procurator fiscal)

- ok no worries at all they should be sending me through their response tomorrow

in which I will post on here and gain some advise before replying.

 

Thanks very much.

[AndyOrch]

Make sure you pay all the priority debts first from the estate...if there's nothing left in the estate..then there's no money for any shortfall...they are not a priority...in fact bottom of the list.

 

Andy

[Williamsonr3]

Just to update this thread I am still awaiting Black Horse's response as I contacted them the other day and the claimed not to have received the 'death certificate' I had sent them. As soon as I receive a response I will post it here.

[AndyOrch]