Car Finance Approva...
 
Notifications
Clear all

Car Finance Approval

10 Posts
4 Users
0 Reactions
5,547 Views
(@roverrunner76)
Eminent Member
Joined: 8 years ago
Posts: 24
Topic starter  

My current vehicle is on a PCP deal and the contract ends very soon. I called my trust deed company to seek permission to obtain finance for a replacement vehicle and they said it wouldn't be a problem as long as the monthly payments were close to what I'm currently paying. I applied online, was provisionally approved and found a low mileage vehicle and secured it with a £100 deposit. I then received an e-mail from the lender with a 'Trust Deed permission form' requesting that my trustee give written consent for the finance to be finalised. I e-mailed this to my trustee, along with a draft of the credit agreement last week.
In 7 days I have not heard anything from the trustee to approve the agreement or otherwise. I sent a reminder e-mail this morning, and even resent the form, filling in all the details myself and just leaving the trustee boxes blank. I have not even had an aknowledgement and was wondering how long it should take a trustee to look at a new agreement and forward the form. I'm worried that they will now reject the proposal, even if the payments are lower than my current car, and the Broker and Dealership are asking me for updates which I can't give them.

S.C.


   
Quote
(@sharon-toal)
Estimable Member
Joined: 7 years ago
Posts: 143
 

Roberrunner

This issue is becoming more and more common and thank you for sharing it on the forum.

Generally, a trustee would have any issue with you obtaining car finance as long as it doesn’t affect your contribution and that the lender is aware of your trust deed and is still happy to provide you with the funds or agreement.

Normally, a trustee would not normally sign a form that allows a client to receive further borrowing of whatever nature.

This is not to cause any unnecessary stress and because they don’t want you to have the agreement but it is mainly down to the fact that if you default on payments, the lender could argue that they gave you the funds based on a recommendation of the trustee and the trustee could therefore become liable for payment.

Do you perhaps have a third party that could secure this deal and allow you use of the vehicle?

It would however be interesting to know the outcome in this matter. Please let us know your final response from your trustee.

Sharon is no longer posting in the forum.


   
ReplyQuote
(@roverrunner76)
Eminent Member
Joined: 8 years ago
Posts: 24
Topic starter  

I called trustee on Friday and explained. Person on phone searched inbox and found the email I had sent, printed it out and passed to I.P. within the hour, form was countersigned by I.P. and sent back to me. I forwarded onto broker and funds were released for car 30 mins later. All turned out well. Just hope car is reliable but it's low mileage so should be !

S.C.


   
ReplyQuote
TDA (Debt Adviser)
(@tda-debt-adviser)
Illustrious Member
Joined: 16 years ago
Posts: 13594
 

That sounds very positive Roverrunner76.

I hope everything works out well with your new vehicle.

Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds


   
ReplyQuote
David Tannock
(@david-tannock)
Famed Member
Joined: 12 years ago
Posts: 2581
 

Good news Roverrunner76. Enjoy the new car.

David is not currently posting in the Trust-Deed.co.uk forum


   
ReplyQuote
(@roverrunner76)
Eminent Member
Joined: 8 years ago
Posts: 24
Topic starter  

Collected car yesterday. Am I allowed to mention which Broker and Finance company helped me so others in trust deeds can try if they need finance ?

S.C.


   
ReplyQuote
TDA (Debt Adviser)
(@tda-debt-adviser)
Illustrious Member
Joined: 16 years ago
Posts: 13594
 

No problem. If you're happy with the service please tell others.

As a general rule we just ask people not to post weblinks, phone numbers, and email addresses. Spammers seem to see that as a green light to add their own rubbish into the forum!

Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds


   
ReplyQuote
David Tannock
(@david-tannock)
Famed Member
Joined: 12 years ago
Posts: 2581
 

Excellent. How is the new car? Smiles per miles?

Sharing the name of of the broker I'm sure will help other people who need to look at car finance and are in a Trust Deed.

David is not currently posting in the Trust-Deed.co.uk forum


   
ReplyQuote
(@roverrunner76)
Eminent Member
Joined: 8 years ago
Posts: 24
Topic starter  

Ok. The broker that was able to help me was Glasgow based CarMoney. They were able to secure me finance with a lender called Moneybarn who specialise in IVA/Trust Deeds. The APR was reasonable given my circumstances and much lower than I'd seen elsewhere. The fact that my current car is on a PCP meant that I had no trade in and I wanted to get a replacement car before handing it back was all explained to my trustee. Car Money did all the work with Moneybarn and told me the price range that would be affordable so always be honest upfront. I was allowed a price up to £6500 but opted for a car costing £5600. This was one of my areas of concern when I first took out the trust deed as I knew the PCP deal would end 18 months in. My 'new' car should see me through the next 3 or so years so fingers crossed its reliable.

S.C.


   
ReplyQuote
TDA (Debt Adviser)
(@tda-debt-adviser)
Illustrious Member
Joined: 16 years ago
Posts: 13594
 

Moneybarn has been in this market for quite some time.

As far as I know they've always had the requirement for the trustee to provide written consent before the finance is forthcoming.

Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds


   
ReplyQuote
Share: