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Hello Alex. I entered a tenancy agreement on the 26th September and have paid £400 per month rent plus a £500 deposit. I paid my rent up up until the 26th January 2014 with a bank transfer. I have a document signed by me and the landlord for this agreement.
On friday when I was at work, someone from the estate agency turned up to the house and my housemates were told that the landlord we rent from, rents the property from them and has not payed what he owes. A person from the estate agency has come back this evening and taken all of our details as they are going to see what they need to do next and how they can help us with our circumstances on what rent and deposits we have all paid.
Before all of this happend my landlord had asked me if I would help him. He asked me if I would take out finance on a car for him and in return he would let me live rent free at the property free for a year from the date I had paid up until. I wrote up a document to say that he would still be responsible for the repayments on the vehicle and needed to transfer the monies to my account each month before it was due by the finance agency.
He has broken our agreement and I need to know if I can reclaim the vehicle from him and write to the car finance agency and terminate the agreement and return the vehicle to them. The finance was for £20,000 and the total amount payable with fees and interest is £29,448.20. So the finance company will need the outstanding amount of £9,448.20 of which wlll be owed I guess. I do not have this money and can not afford the repayments on the vehicle myself. If I had an agreement between me and him will this help me in anyway?
Yes but do you know who he owes money to? Have you had any letters from the mortgage company?
He owes council tax, water bills and all other kinds of bills. He rented the property from the estate agents we are told and then rented it to us. The landlord originally told us that he owed the property.
I see. In that case you would have protection anyway because under the Court rules they would allow you 2 months notice before you have to move.
But in terms of getting your money back you would need to write to your Landlord and ask for your money back including payments for the car finance and say unless you get that within 14 days then you will go to Court.
If he refuses then you can issue proceedings which you can either do online at: www.moneyclaim.gov.uk or by completing form N1 http://hmctsformfinder.justice.gov.uk/courtfinder/forms/n001-eng.pdf
The Court will then issue the claim which will be sent to him, if he does not defend it then you can enter Judgment and enforce.
If the matter is defended it will proceed to a hearing.
In law you are liable for the finance on the vehicle until paid off so all you can do is claim from your Landlord and hope you get paid for your losses.
I realise this is not the answer you want and certainly not the one I want to give you, but I have a duty to be honest.
Can I clarify anything for you about this today please?
So should I ask him for the vehicle back and the extra cost that I will owe the car finance company so I can cancel the agreement?
My concern is that I know I will be held liable by the finance company but will I have a leg to stand on for reclaiming anything extra from him?
You can but if he refuses then you can not get it back without a Court order.
You are liable for the finance and if he refuses to pay you can claim for losses incurred because of that back
Does this help?