Welcome to the forum nov2018.

It would be best to contact your trustee to discuss this. They'll make an assessment of what you need and what's fair to your creditors based upon the facts of your situation.

There may be a secondary issue in terms of obtaining finance, or affordable finance, while you're in a trust deed. For example, one such provider of finance we looked into a while ago required a letter from a trustee consenting to the provision of a new finance agreement and charged a significant interest rate in respect of their perception of risk.

Hi TDA. Thanks for the reply. This becomes a bit of a tricky situation or vicious circle. I need a car to get to work. I need to work to pay into my trust deed. Without a car,........ you know the rest.

I don’t want to do anything underhand. I don’t want to just turn up to a car dealer and get rejected for HP.

I’ve already spoke with one finance company who will lend me the money, which is within my ‘allowance’ but as you say and as expected, the interest rate is sky high. The other side of this is that with only 9 more payments due until completion I don’t want to start paying extra to the TD when I know my car is on the way out. It needs to be replaced. Tax and MOT renewal are both due 1st March, and I don’t want to fritter money away for the sake of it. I don’t have money sitting there that I can go out and buy something for cash sale. Insuring the car already exceeds the cars value.
It’s been a long journey. I’ve learned loads and in particular planning ahead. I don’t want to do anything silly when I can almost see the light at the end of the tunnel

I think if there's a genuine need to replace the car, for the reasons you mention, your trustee is likely to be supportive. It's definitely best to talk this through with them so you can base any decisions around confirmed options.

I guess one thing to weigh up is whether, if you can keep the existing car up and running for a few more months, whether replacing it after discharge might be less costly for you in the longer-term than replacing it now would be.

Thanks. That’s given me a few things to think about. I appreciate your help #128077;

I experienced similar, my HP ended and I required a new car.

I managed to get car finance through Moneybarn who were great. I just made sure I was up front and honest about everything to both my trustee and Moneybarn. My new car monthly payment ended up about £20 more than my original one.

Higher interest rates of course, but it is possible.

Hi Jamie1874.

Did your trustee have to provide written consent to Moneybarn for this finance to be provided?