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Topic starter
23/02/2015 4:26 pm
Hi forum!
Myself and my husband are both in trust deeds, and we have 2 cars. Both are old sheds, and the main car is failing badly. It's worth maybe £1000 if that. I've spoken to a dealership who said they could give us credit for a car - we were up front about being a TD. I asked my trustee a while back if it is within the rules to buy a new car, and was told yes as long as the value is under £3000. Does this count even if we're getting the car on a HP scheme and we never actually own the vehicle? Right now I'm shelling out left right and centre for my old car and it costs a lot to run. I'd rather have a decent car that's cheaper to run and has a warranty so I don't have massive bills to fix it!
23/02/2015 4:47 pm
Hi Nemo1.
You're correct that under many types of finance you don't own the vehicles (unless, in some circumstances, you've completed the payments).
If you don't own it, it's generally not going to be seen as an asset.
I suppose the issue is whether the cost of the vehicle is going to be reasonable and manageable in the event that the finance interest rate is high?
Some finance providers might also want prior consent from your trustee before providing new credit to you.
Qualified Debt Adviser & Forum Administrator - Ask me anything about Trust Deeds 
Topic starter
23/02/2015 5:16 pm
Hi TDA thanks for replying. Yes I'll contact the trustee about it and see what they say. I just don't see the point in paying a few hundred for another old banger that will need money spent on it as things go wrong. I'll see what they say!
Don't get me wrong I'm not wanting a fancy car just a reliable one. As without it I'm scuppered as to how I'll get to work and do the nursery/school drop offs!
