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asked about General

15 days ago

I took a loan for the purchase of my car to drive as PHV, so it's under hire purchase scheme. However, I stopped driving PHV and have converted my vehicle to P10 under LTA. The credit company that I took the loan from for the purchase is telling me they will repossess the car due to breach of contract, even thou I have been paying the installments on time, paid for commercial insurance so that they continue to get a cut out of the insurance premium. Are they authorised to repossess back my car? And why?

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How can we assist you?

1 Answer

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Katherine

Yes, when you applied the loan, the credit company have processed your application as such (If you are using it as a passenger car or a private hire car).

If you convert the vehicle scheme midway, the credit company will be informed and they will look in to it because the nature of use is no longer the same.

For more clarity, it will be better to call the credit company directly.

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15 days ago