Hi, I was declared bankrupt 1/5/09. In late Feb 09 I traded my car in for £1800. Another car was purchased for £6495. The £1800 being the deposit. The balance, £4695, was paid for on my wifes credit card. The reason for the purchase was that I had been fortunate to obtain a job that required that I had a reliable vehicle for which I would receive a mileage allowance. Because I had a personal number plate transferred to the new vehicle, I was registered as the keeper of the vehicle, and it was insured in my name. The official receiver now says that the car is mine and as it has a value in excess of £4000 it will be collected by their agents and I will receive a cheque for £2000. In view of the fact that the the car was largely financed by my wife (receipts available) is this Correct? Many thanks for your attention
Even though the car was financed by your wife it is registered in your name so is considered your property and an asset by the OR. Any cars worth over £2k are normally taken by the OR and sold with the profits going to your creditors.
I believe that you are able to 'buy' the car back from the OR by paying the difference between the car value and the £2k cheque that you receive. Check with the OR whether this is possible and they you can always offer a lower difference as the car will be sold at auction so won't reach full 'private sale' value.
Edited by - gettingoutofdebt on 03 June 2009 15:54:53
As far as I'm aware if you can prove the car was paid for by your wife then you would have a good case to keep and it wouldn't matter who the registered keeper was. Have you made any payments to your wife for the car?
Hopefully one of the experts will be able to confirm
Tomorrow is a mystery, yesterday is history, today is the present, a gift to make the most of.
Hi, I was declared bankrupt 1/5/09.
Posted - 03 June 2009 : 11:43:01
