Scrappage question - road tax, MOT, insurance on old car - advice needed on when to hand over for scrap

Found 7th Jun 2009

I am about to get a car under the scrappage scheme - my car has MOT due 17th June, road tax until end march 2010 and insurance until 12th July. The new car would not be available until Sept at the earliest - there's a wait list.

I rang the insurance first - and as I wouldn't be able to suspend insurance to sept - as it is past the end of current insurance period they said there would be a £48 cancellation fee for cancelling part way through the policy (diamond) and i wouldn't get a no claims bonus for this year if I give the car to the dealer on the last day of the MOT.

The garage said I would have to hand over the tax disc when I scrap it - I couldn't post it for a refund - their best advice was to buy 6 months road tax and post back now to get 3 months back.

I don't know what to do!

I could
1) Attempt MOT - you never know - it might pass!
2) Keep the car until Insurance runs out 12th July - then hand to the dealer for scrappage - Is it OK to hold parked on drive at my house with Tax & Insurance - but no MOT - as long as I don't drive it?
3) Hand car over on 17th June without attempting MOT, pay insurance cancellation penalty, lose 9 months tax
4) Anything else?

Thanks in advance for any suggestions
Community Updates
you keep your tax and return it for refund
It is your road tax you can claim for a refund as you are registered owner. Do not give to the garage.

I have just traded in my car and took my road tax back which expires end July and I have sent it back for refund. Form for refund says you have to be registered owner of the vehicle.
You will transfer the insurance onto your new car though?
so no problem there...
My car got written off and I claimed the tax back with a form from the PO. You stick the disc on to it and get refund for full months left only s make sure you form is in well before the end of te month.
Thanks - the insurance guys won't let me transfer the insurance as the old poilcy would be lapsed before the new car arrives

So far the plan is
Attempt MOT
If MOT passes - or cheap to get through MOT - great!

If it fails with expensive repair needed
1) check with scrappage - if i can return tax disk as it's off road so SORN makes sense
2) Park on drive with battery disconnected until new car arrives
3) continue with insurance until 12th July - find out if I have to insure it when it's off road.
I think if you have your car on your drive but aren't using it you need to contact the dvla and let them know, can't remember the specific term for it?

I wanted to get a new car through the scrappage scheme but I only just transferred the car into my name in January, it had been in my dad's name for about 4 years before that, so I technically haven't owned it for long enough!
Post a comment

    Top Discussions

    Top Merchants