Hi girl10,

If the car is required for work (and of course work may help to fund some repayments to creditors in bankruptcy or a trust deed), the payment is a reasonable amount, and it's on hire purchase I'm almost certain that you'll be able to keep it.

It's not your car so cannot really be seen as an asset, and handing it back would probably just create another debt (as well as stopping you from being able to earn).

Do you know if the HP company would ask for it back?

Hi girl10,

I think this is one of these situations where they technically could do so, but in practice (if you are paying as you should) would hardly ever do so as it would almost certainly just create them a loss.

I think there are probably plenty of our members currently in trust deeds that have cars on HP.

Do you know if that would be the same in bankruptcy though, i am worried to go a head with this just incase they take my car.

I think that the same prinicples will apply girl10.

I'm sure one of the experts will confirm or deny this to be the case very soon so that you can feel reassured that you understand the position.

It is impossible to say whether the HP company would take the car back or not, but as trust deed assistant says in the vast majority of cases finance companies are happy to allow the agreement to continue. Having said that, I have seen it happen once or twice I'm afraid.

What worries me in your case is that there seems to be an unsecured loan bundled in with the HP agreement. This debt would have to be included in the sequestration, so I guess this could cause the finance company to view things more harshly. (Though there is nothing to stop someone else paying this loan on your behalf to try and keep them sweet.)
Hope this makes sense - sorry I can't really give you the answer you are looking for.