Hi Amerififer

You would not be breaking any terms of the trust deed by entering into a lease/HP agreement.

The 2 main issues would be the ability to obtain a vehicle while still in the trust deed and the additional payment if this affects the contribution. You should also be wary that the car doesn't end up being regarded as an asset at the end, although this is probably unlikely. Just realised that's 3 points!

There were a few posts recently where people had obtained cars on PCP deals, although I think that they may have finished the trust deed. There seems to be a more relaxing attitude from dealers than perhaps a year or so ago, so I wouldn't totally dismiss the idea.

Mark

Hi Amerififer,

I guess the question is can you afford to take on extra credit to pay for car finance and would this impact on your Trust Deed payments?

There isn't anything legally stopping you looking at a lease agreement, hire purchase etc.

The majority of people require access to a reliable car for work purposes and therefore an allowance can normally be made for a payment for a vehicle.

You will need to run this by your Trustee but providing you can afford the payments per month for the car and it won't impact on your Trust Deed payments then I can't see it being a problem.

You may find that the payments per month are expensive if you have a poor credit rating. Do you think you could make do with the car until Sept/Oct this year and when your Trust Deed is finished then look at a new vehicle as you will have extra money per month?

Hi Amerififer

I searched through the previous posts using 'Arnold' and it seems like the people who were successful in obtaining finance had completed their trust deed, although it appears the finance was obtained not long after the discharge as opposed to waiting for the 6 year credit file thing.

It would be interesting to see how get on if you applied or hear if anyone else has managed this before discharge.

TDA, do I need to put 'Other dealers are available' in this post?

Mark

From what my mechanic says if I plan on keeping the car its all work that needs done sooner than later.. So i don't see it being financially feasible to keep it until Sept/Oct. sigggggggh..
Not caring if its even a new car that I get a nice reliable used car is fine with me. 🙂 Guess I shall have to pass this by my contact person.
Thanks all for the input. It is greatly appreciated.

Hi Mark,

Only if you're a shareholder!

Hi TDA

No, no link. It's amazing how many times you hear it on the radio though.

Mark

I had looked into leasing before I was discharged as my car was on the way out. In the end, I managed to limp across the line and get finance shortly after discharge. However, the leasing company I contacted were advertising on TV as being a company that would consider people in IVA's. I emailed them to ask if they'd lease to someone in a TD. They said they would consider me but obviously needed more information on my situation. Obviously, I never went any further but it might be worth considering if you get desperate. They are still advertising now and are called Wheels4Sure. They did look for a small deposit on their cars which could be an issue as, if you are anything like me, savings weren't exactly piling up during my TD.

Hi Amerififer I'd be interested to hear if you have had any success getting car credit? As I am
In the same situation

Nemo
that was just on Thurs.. 🙂 not had much time to do anything about it .. Worked the weekend .. Emailed my Trust deed contact person on Friday .. Waiting to hear what he says.. Hoping to hear from him tomorrow (Monday)
I'll post here any results i get or don't get 🙂

That'd be great! Likewise if I get anywhere I'll post here also 🙂