Charné van der Walt runs an independent fee-based firm called "Lemons into Lemonade Financial Planners CC" in Stellenbosch. She has been in the financial services industry since 1991.
Hello, I'm not sure if you are the correct expert but here goes. I bought a car in November 2010 for my soon to be ex-husband as we needed to cars due to the fact that we worked in different parts of the city and he did a lot of travelling.
The only reason I bought the car was because he was blacklisted and I was not. He was paying the car from his salary.
In December of 2011, he lost his job and I wasn't earning enough to pay off two cars and so we sent his car back to MFC. MFC have subsequently sold the car and they have contacted me and told me that I still owe them R49 000.
My husband and I have separated and I just don't have the money to pay the balance. We are married ANC. I spoke to an attorney in February of this year and he advised with the new credit act and the fact that I am willing giving the car back (which proves I cannot pay for the car) and means that any outstanding balance I wouldn't have to pay for. Is this true? Also I would want to know whether I can get some of this money from my husband during divorce proceedings?
Thank you for your assistance.
I deal mostly with credit application issues in terms of the National Credit Act and when it comes to legal issues like yours, I always advise clients to make use of a lawyer. If the lawyer is of this legal opinion, my advice will be to ask the lawyer to draft a letter to this effect, mention the relevant clauses of the Act and then send it to the Legal Department of the vehicle MFC.
If the MFC contract stipulates a certain procedure that you had to follow and you did not, the lawyer can give you advice on that as well.
In future, it is wise not to buy any assets for anyone else in your name because even if you trust that person, they can lose a job or even die or become medically unfit to work and then you are still left with the debt.
The finance company does not care about your personal circumstances and they don't have to because their contract is with you and not your husband.
Yes, you can get some of this money from your husband in your divorce proceedings as long as you agree on the terms that should be included in the divorce order.
Ask your lawyer if he or she wants any proof that your husband used this car including petrol card slips showing he signed on that car's registration number, emails where he acknowledges that he used the car, etc. or even an admittance that he used the car while it was purchased in your name. You can hand it in as a claim from him (the full amount) but this is only my opinion as a layman. Make sure from your attorney what your legal options are.
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