Hello Mrs Mac.

I'm not aware of any firms specifically involved in leasing cars to someone who is currently in a trust deed.

Hopefully one of our members will have a suggestion for you.

Hi, I don't know if this is any help but I got a loan from my work to buy a car and they knew I was in the trust deed. The money just comes straight out of my pay before it comes to me. I don't know who you work for but it might be worth a try..

Thanks for your reply, unfortunately I work for the NHS so no chance of that. Thanks anyway.

Hello Mrs Mac.

Are there any family or friends that might be prepared to help you out with this?

Hi Mrs Mac

I'm currently at the start of my PTD (3 payments in!) and we have a car on a three year Personal Contract Purchase agreement. We had this in place well before the TD started and it's not considered an asset. Our car is due for renewal in September so we're about to start looking to get a similar deal. Our IP told us this will be fine as long as the monthly payment doesn't significantly increase. This could be a suitable solution for you?

In simple terms, it works by putting down a deposit (in the form of another car if no cash), work out what you can afford each month over however many months, i.e. 24/36/48, you then have a balloon payment to make at the end. At the end of the term, you can either pay the balloon payment and the car is then yours. Or, you can choose to hand the car back and leave with nothing. Or you can choose to upgrade with another deal. Like I said, that's the simplified version but you get the gist.

It's ideal for us as we have a lovely new car every three years even though it doesn't technically belong to us. Once we're finished with our TD, we'll think more about buying a car.

Hi mrs mac

Pammy69 seems to have a good deal, but the important part is that her agreement was taken on before signing a trust deed. Is is still a form of credit, and as such, a credit check will probably be required. Sorry!

Hi Pammy1969,

I'm at the end of my trust deed and considered leasing a car for a few years. I made an enquiry with a company and explained that I was in a trust deed. The person I spoke to said they would have to carry out a credit check and it was up to me to decide if I wanted to proceed with the check. I decided against it because I knew I'd be declined. I'm glad you managed to get a car before you entered your trust deed!

Thanks for all your replies, I agree the 3 year lease you have sounds a great deal but unfortunately having contacted a few leasing companies they all do credit checks so I see no point in even trying as I am sure that they will all come back saying thanks but no thanks. I wish I did have some family/friends to help with this but unfortunately pride has not let us tell anybody that we are in the financial position we find ourself in.

I guess we were very lucky because we did consider taking a loan to buy the car - just as well we didn't because it would have been a rather large asset. Although we probably would have gone down the DAS route in that case.

You've got me a little worried now though! I assumed because the car doesn't belong to you the entire three years of the term, it was considered a safe bet, i.e. you stop paying, the car is taken back. Is it likely that when we go to renew our car, we might be declined?

Hi pammy1969.

They may agree to extend the lease which would probably avoid a credit check. I think a new lease is likely to involve such a check taking place.

I've hijacked Mrs mac's thread but hopefully she and others in a similar situation might find it helpful.

I popped into the car showroom today to speak about our situation. The chap there has said that he'll phone the Finance company tomorrow morning and ask about our options. He was going to prepare a quote today but decided it would be best to find out whether or not we could get finance first! I've to phone him tomorrow afternoon and see what they say. Perhaps the fact that we're upgrading and we've never missed a payment will go in our favour. I hope so because I don't know what we'll do if we don't get finance. I can't manage without a car - we live 20 miles from school and work. The only option we'll have is to save like crazy between now and August so we can buy a cheap car outright. And how do we explain that to people? Not that we should give a monkeys - let people say what they want!

I'll keep you updated.

Well, not much of an update apart from finding out that the Finance company "rejected" a proposal by my car dealer. Not a good start.

I don't have a reason yet - the finance company will be in touch with me.

However, I Googled "poor credit car finance" and there are a few companies like Fowlers Finance who finance cars to people with poor credit histories including bankrupty. I don't see the harm in contacting these people - I know each credit search leaves a footprint but our records are goosed anyway - how much worse can they get?

edit reason - typo

There isn't any harm that I can see pammy1969, though I wouldn't contact more than a couple at a time. No harm in learning about the availability and rates involved.

Is an extension of your existing lease something you'd consider if it was available?

I'm not sure. The GMFV (Guaranteed Minimum Future Value) figure is £4080 and if they agree to finance this with a view to us owning the car at the end, I'm assuming that the car then becomes an asset with a value of £4080. If so, would this mean that we'd need to put in £1080 at the end of the PTD?