Author Topic: Business vehicle value  (Read 23541 times)

James2017

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Business vehicle value
« on: May 21, 2017, 08:43:35 PM »
My partner is considering bankruptcy and has a car that is used for work, she does in excess of 20,000 business miles per year. The car has finance of £3000 still outstanding but she wants to continue paying the finance and keep the car. Parkers suggests the car is worth £5500 as a private purchase or £6500 if purchased from a main dealer. We have received an estimate from a local garage who would pay £5500 for it.
Would the OR allow her to keep the car or make her sell it?

Lisa Thomas

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Re: Business vehicle value
« Reply #1 on: May 23, 2017, 10:57:47 AM »
The O.R might allow the vehicle to be classed as exempt from the Bankruptcy estate due to her need to use it for her income and the relatively low equity in it but no-one can guarantee that beforehand I'm afraid.


Even if they allow exemption the finance Company is still entitled to repossess the vehicle, although I would suspect this would be unlikely if she continued to make the payments.


I am unable to post links on this forum but you can find more information on the insolvency service website.
www.Nevilleco.co.uk 01752 786800

James2017

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Re: Business vehicle value
« Reply #2 on: May 24, 2017, 10:07:36 PM »
The finance company are happy as long as payments are kept up to date. Thank you for your advice.

Lisa Thomas

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Re: Business vehicle value
« Reply #3 on: May 25, 2017, 02:00:17 PM »
You're welcome - best of luck.


I have a video on Neville & Co You Tube page about bankruptcy which she might also find useful.
www.Nevilleco.co.uk 01752 786800