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Scottish Trust Deed Forum
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Topic starter
02/02/2011 4:39 am
Hi, I'm a new member of the forum with a question.
I am in a Protected Trust Deed and have been since Jan 2010. I got to keep my car and continued to pay the HP on this. However, it is too expensive to run my car which is a 4x4, so petrol, tax, insurance etc. are higher than I would like. I want to downgrade my car but am not sure if I can enter a new HP agreement while in a PTD. I have made some initial enquiries with the finance company who have said that they would not re-finance me.
My query is this (hope someone can advise):-
1. Can I enter a new HP agreement while in PTD?
2. If so, does anyone know of a finance company who will lend to people who have a trust deed?
I work in HR for local government and need a car to carry out my duties as I can be out at various locations for meetings etc.
Any help and advice most welcome.
Thanks,
Lynn [:)]
02/02/2011 9:09 am
Hi LynnMac2011
There is nothing to stop you trying to enter a new HP agreement, as long as it won't effect your contribution, however if the finance company that you are with at the moment are not willing to, I'm not sure how easy it will be for you to find a company who is.
Hopefully some of the readers on the forum might be able to let you know if they have tried to do this, and if they have been successful.
Julie
Julie is not currently posting in the Trust-Deed.co.uk forum.
02/02/2011 9:12 am
Hello LynnMac2011 and welcome to the trust deed forum.
Were your current costs for the vehicle factored into your original trust deed contribution?
If they were, and you were then to reduce these costs, I think it's possible that when your trust deed is reviewed your monthly payment might increase by a similar amount to any savings that you now might make on things like the HP payment and the insurance costs.
I'm also wondering if there would be any penalty associated with handing your current vehicle back?
There is nothing to stop you from entering a new HP agreement assuming that you can find a provider that is prepared to go ahead while a trust deed is in place.
I'm afraid that I'm not aware of one that will be prepared to do this, but one of our readers/members may well have a suggestion for you on this side of things.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
03/02/2011 4:45 am
Many thanks for your replies.
My current finance is included in my outgoings statement. I have paid over half the amount due on the hire purchase so was looking to voluntary terminate agreement on this basis. I still have had no luck finding a company willing to provide finance. Although one company did offer finance but the car would have to be less than 4 yars old, would have to cost over ?ú5000 and an initial payment of ?ú1500 paid with monthly payments of ?ú375. As tempting (!) as this was, a wee bit extreme!!!
Might have to bite the bullet and keep my 4x4 until its paid off then try to trade in for a cheaper used car. I only really need it to get to work and any meetings outwith our HQ.
Again many thanks for your replies.
Lynn
