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Car finance pickle.
I've gotten myself into a little pickle and I hope someone can help me.
In November 2015 facing the birth of my son and a car death, I ended up getting a car on finance. Interest rate wasn't fantastic but I have a really crap credit rating so wasn't overly concerned. Fast forward to Sept 2016 and I am out of work. End up going back to college but a part time job falls through, and because my wife is a uni student we don't get any benefits except Child Tax Credits and Child Benefit.
We struggle along keeping repayments going until March 2017 when I tell them I am out of work. I made a single payment around April to stop it going to the board of directors. In June I was offered a part time job, I sent a couple of e-mails to restart payments and heard nothing back, I then phoned them and was informed that it'd already been signalled for repossession and "payment wasn't an option."
The car was removed at the end of July 2017. I'm back at college now for the next level. They've sent me a letter telling me car reached just over 2k at auction meaning I owe them 4.5k, but I can settle for 2.5k. I've written to them to explain that no car means no job, no job means no money. I've offered a token amount of £5 per month.
Our only income is a joint claim for child tax credits, a joint claim for child benefits and my wife's student finance. I've already got one CCJ from a credit union loan because of the loss of income, the solicitors involved have accepted £5 a month, even though our outgoings actually exceed our income.
The debt is solely in my name if that makes any difference, I have an income and expenditure form to return. Realistically what out of our income can the take into account?
Many thanks.
JD
In November 2015 facing the birth of my son and a car death, I ended up getting a car on finance. Interest rate wasn't fantastic but I have a really crap credit rating so wasn't overly concerned. Fast forward to Sept 2016 and I am out of work. End up going back to college but a part time job falls through, and because my wife is a uni student we don't get any benefits except Child Tax Credits and Child Benefit.
We struggle along keeping repayments going until March 2017 when I tell them I am out of work. I made a single payment around April to stop it going to the board of directors. In June I was offered a part time job, I sent a couple of e-mails to restart payments and heard nothing back, I then phoned them and was informed that it'd already been signalled for repossession and "payment wasn't an option."
The car was removed at the end of July 2017. I'm back at college now for the next level. They've sent me a letter telling me car reached just over 2k at auction meaning I owe them 4.5k, but I can settle for 2.5k. I've written to them to explain that no car means no job, no job means no money. I've offered a token amount of £5 per month.
Our only income is a joint claim for child tax credits, a joint claim for child benefits and my wife's student finance. I've already got one CCJ from a credit union loan because of the loss of income, the solicitors involved have accepted £5 a month, even though our outgoings actually exceed our income.
The debt is solely in my name if that makes any difference, I have an income and expenditure form to return. Realistically what out of our income can the take into account?
Many thanks.
JD
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