Car ownership and finance
Car ownership and finance
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Miggers

Original Poster:

29 posts

107 months

Friday 1st June 2018
quotequote all


Long story cut short a bit.

Basically,the daughter and her husband have split up(after 12years of marriage).

The car they have(he's the registered keeper)was bought using money obtained via a loan applied for by his mother.

They used to repay her a cash amount(£200)per month to re-imburse her which she then paid to the loan company/bank/WHY.

There isn't(and daughter is adamant about this)a paper trail linking the loan to the car only the verbal agreement to pay his monther cash

each month.

He's kept hold of the car and taken the daughter off it's insurance denying her the use of it.(He's done loads more too)

He's trying to get the daughter to pay £100 per month to help pay off his mother,daughter says "No way,not for a car I don't have access to"

She's told him to sell the car and give her 50% of the money it realises,but he keeps banging on about "the loan"for it.

Anyone got any thoughts on this one?

Butter Face

34,878 posts

190 months

Friday 1st June 2018
quotequote all
It’s the mothers car legally, she paid for it.

The registered keeper is just who is responsible for taxing it.

If they’ve been paying her for the car then they can’t say it was gifted to them.

If your daughter isn’t going to use it then of course she doesn’t have to pay for it, but also it’s not her car to ask for half of any proceeds from a sale IMO.

Welshbeef

49,633 posts

228 months

Friday 1st June 2018
quotequote all
Has your daughter paid 50% of the total purchase price?


If not then in essence she has been paying her share of the depreciation of it over however many years.


Clearly if no access to the car is now given well clearly you wouldn’t pay. However 12 years of marriage a mere £100pcm is a drop in the ocean to the sad huge cost of divorces and ongoing financial support to a spouse

Welshbeef

49,633 posts

228 months

Friday 1st June 2018
quotequote all
Butter Face said:
It’s the mothers car legally, she paid for it.

The registered keeper is just who is responsible for taxing it.

If they’ve been paying her for the car then they can’t say it was gifted to them.

If your daughter isn’t going to use it then of course she doesn’t have to pay for it, but also it’s not her car to ask for half of any proceeds from a sale IMO.
Is the loan secured on the car or simply a personal loan? If it’s not secured then being brutal someone can foxtrot Oscar

Miggers

Original Poster:

29 posts

107 months

Friday 1st June 2018
quotequote all
AFAIK(I will check with daughter on this),it's just a personal loan and not secured on the car.
She's very certain their is no paper trail linking the car to the loan.

Welshbeef

49,633 posts

228 months

Friday 1st June 2018
quotequote all
Miggers said:
AFAIK(I will check with daughter on this),it's just a personal loan and not secured on the car.
She's very certain their is no paper trail linking the car to the loan.
What’s the value of the car?

Also as clearly she didn’t buy it cash nor take a loan on it - divorce aside why do you or anyone else think it’s fair and just to say sod it we willl sell it and I’ll tskw half even if I never paid anything for it from day 1 simply it’s depreciation??

Anyway she neeeds to be careful as when the big ticket items like splitting pension pots and mortgage/equity in the house etc the stance may or may not make the now x decide he wants to fight the case much harder so she may lose out.

Butter Face

34,878 posts

190 months

Friday 1st June 2018
quotequote all
Welshbeef said:
Miggers said:
AFAIK(I will check with daughter on this),it's just a personal loan and not secured on the car.
She's very certain their is no paper trail linking the car to the loan.
What’s the value of the car?

Also as clearly she didn’t buy it cash nor take a loan on it - divorce aside why do you or anyone else think it’s fair and just to say sod it we willl sell it and I’ll tskw half even if I never paid anything for it from day 1 simply it’s depreciation??

Anyway she neeeds to be careful as when the big ticket items like splitting pension pots and mortgage/equity in the house etc the stance may or may not make the now x decide he wants to fight the case much harder so she may lose out.
I’m going to be as blunt as a blunt thing in blunttown and assume that as the OP’s daughter and her husband had to have the Mum take a loan out to buy a car and are already squabbling over £100pm and the (likely) small amount of money that may be made from selling it, there likely isn’t a massive asset fight to be had, I await to be proven wrong though...

Butter Face

34,878 posts

190 months

Friday 1st June 2018
quotequote all
And back to the subject in hand, she should just refuse to pay, not bother about the car or use of it, or any small money that could come from selling it and move on.

Welshbeef

49,633 posts

228 months

Friday 1st June 2018
quotequote all
What’s the car worth £1k £30k ?


gothatway

7,686 posts

200 months

Friday 1st June 2018
quotequote all
For a complete picture - what was the original loan amount, how much did the car cost (if different from the loan - e.g. due to deposit/up-front contribution), how much has been repaid and how much is the car now worth ? Then you'll have a feel for how significant a problem it is, and can put it into the context of the whole situation.

Mgd_uk

412 posts

134 months

Friday 1st June 2018
quotequote all
I reckon the fair way to do it is.

Sell car

Payback the loan.

Split the rest 50/50.

rigga

8,806 posts

231 months

Saturday 2nd June 2018
quotequote all
Unless the car has unusually appreciated in value, im guessing its a family runabout here , selling it to pay off the loan will unlikely leave anything to be split 50/50.

PurpleMoonlight

22,362 posts

187 months

Saturday 2nd June 2018
quotequote all
Always little morality applied when it comes to divorce.

Butter Face

34,878 posts

190 months

Saturday 2nd June 2018
quotequote all
swerni said:
Welshbeef said:
What’s the car worth £1k £30k ?
The mum had to get the loan and the repayment is £200 a month.
My guess is much closer to £1k than £30k
I’d agree.

IF the Mum got a good rate then she maybe borrowed upto 10/11k over 5 years?

Obviously we don’t know how long they’ve been paying or what the car is but I’d say they either have a small amount of equity or none at all anyway.

NordicCrankShaft

1,957 posts

145 months

Saturday 2nd June 2018
quotequote all
If it were me and there was no paper trail as you like to keep mentioning I'd be over the moon that there's one thing less I have to pay out for.

All sounds a bit council to me though

Deep Thought

40,169 posts

227 months

Sunday 3rd June 2018
quotequote all
Mgd_uk said:
I reckon the fair way to do it is.

Sell car

Payback the loan.

Split the rest 50/50.
+1

Welshbeef

49,633 posts

228 months

Sunday 3rd June 2018
quotequote all
Deep Thought said:
Mgd_uk said:
I reckon the fair way to do it is.

Sell car

Payback the loan.

Split the rest 50/50.
+1
What is loan is greater than sale price?

Deep Thought

40,169 posts

227 months

Sunday 3rd June 2018
quotequote all
swerni said:
Welshbeef said:
Deep Thought said:
Mgd_uk said:
I reckon the fair way to do it is.

Sell car

Payback the loan.

Split the rest 50/50.
+1
What is loan is greater than sale price?
Sell the car.
Pay back what you can of the load.

Split the debt 50/50
Yup.