It depends on the agreement. If your car is subject to a fixed sum loan agreement then you would stop making payment to the finance company because this is an unsecured loan agreement and the debt owed would be included in your Trust Deed. If it is subject to a Hire Purchase, Conditional Sale or PCP agreement, then it will be secured against the car and you would continue paying this if the Trustee and creditors agreed to the monthly expense.
May not be suitable in all circumstances. Fees apply. Your credit rating may be affected.
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