Advice on HP of a Car after redundancy

[anonymous-user]

Hello,

So I was made redundant last month, I have been looking for a job etc, and paying my car payments each month. I am able to pay another two months for sure, but after that, I would have to hope that I land a job.

Currently, I have owned the car for 12 months. It was bought from a dealer at a total cost of £10,115.44 I have looked over the agreement. The half rule is a total of £5,057.72. But obviously, I don't have that. Currently, the trade-in value of the car is £4000 from WBAC. Currently, outstanding finance is £6855.48.

I was going to see if it was possible to see if a dealer wished to purchase the car. I think I could ask £5000 at a push as they sell for around £7k - £9k currently on Autotrader etc.

But if I were to for example get £5000 for the car, is it possible to pay the negative equity off each month? As you can't sell an HP car and I don't think a buyer would be that impressed paying a finance company, as it could lead to a big mess.

I am just after some advice from people who have been in a similar situation. Redundancy is not a nice experience and can happen to anyone. If anyone could give me some advice that would be great.

[anonymous-user]

I'd speak to the lender and explain the situation. They will not want the hassle associated with repossessing the car if you default.

AIming to reschedule the finance so you can keep the car in the short term whilst you look for a new role is what I would do in your situation.

[anonymous-user]

EddieSteadyGo said:

I'd speak to the lender and explain the situation. They will not want the hassle associated with repossessing the car if you default.

AIming to reschedule the finance so you can keep the car in the short term whilst you look for a new role is what I would do in your situation.

That sounds like good advice. I will look at doing that. See if they can lower the monthly payments, just until I get a new job. I have been looking, but if the could lower it that would be good, as the car insurance is due in May and Road Tax. I will ring them to see what my options are.

[rfoster]

It would certainly be worth advertising the car privately online as well - you'll almost certainly achieve more for the car than if you were to trade it to a dealer. PH classifieds is a good start. Sorry to hear about the redundancy.