HP agreement / registered keeper

[slujet]

Hi,

 

Hopefully this is the most appropriate subforum for my question but please point me in the right direction if not...

 

I volunteer with a charity and, one and half years ago, that charity bought a minibus/van on Hire Purchase. At the time, the HP agreement was signed by the chairperson of the charity commitee, who is since no longer involved with the charity - when the van was bought the salesperson apparently advised that this was the right thing to do and apparently s/he gave the that the agreement was effectively in the charity's name, rather than an individual's.

 

Fast forward to last week and the charity received a phonecall from the finance company - Close Motor Finance - who said that they had been informed by the DVLA that the person whose name is on the finance agreement is not the registered keeper, cue threats of repossession etc. The person who signed the finance agreement has never in fact been the registered keeper, but the charity did not realise that this was in breach of agreement (presumably an oversight on the part of the salesperson...).

 

Firstly, can someone confirm that the registered keeper MUST be the same person that signed the finance agreement?

 

Secondly, the options would appear to be as follows:

(a) Pay off the £3,000 or so remaining on the agreement - problem with this is the charity does not have the money; or

(b) Transfer the registered keeper to the person named on the finance agreement - problem with this is that they are no longer involved with the charity and would like to be rid of the financial responsibility/risks involved; or

© Pursuade someone to buy the van with a fresh finance agreement; or

(d) Transfer the HP agreement - this is not possible, right?

 

Are there any other things that should/could be considered?

 

Thirdly, what's the position regarding breach of agreement/repossession? Is it the same process as for arrears on repayments? (FYI, this is in Scotland.)

 

Thanks if you've got this far. Any thoughts would be appreciated.

[afcwben]

sounds a bit wierd, did not realise that DVLA do this. However I do know of people who have bought cars for their kids, the finance is in the parents and the kid is the keeper and not been a problem before. I think you need to ask the finance company a bit more information about this DVLA contact it does sound fishy to me

[crem]

It's not unusual for finance companies to insist that the finance is taken out in the name of the RK. I have one like that for my daughter, and although we consider her to be the "owner", we cannot change the RK on the V5C as the finance company may consider the contract to be breached and insist on total repayment, which we have no plans to do soon!

[crem]

I think you need to ask the finance company a bit more information about this DVLA contact it does sound fishy to me

 

Again, there is nothing underhand or suspicious about this info afcwben. Finance companies can, and frequently do, register their "interest" in the vehicle with the DVLA, and as such when you notify a change to DVLA, they inform the finance company.

 

eg I put a private plate on one of my financed vehicless, and although I took the trouble to ring the finance company, they just said "don't worry DVLA will tell us in due course". Sure enough, about a week later, I got a letter from the finance company stating they had been informed of a reg number change by DVLA and there was a £35 admin fee for this change to my agreement! I have done similar changes before with other finance companies and they have took the info from me over the phone and updated their files instantly without any cost to me.