any help would be appreciated....iva or dmp

[manclad25]

sorry ive had to quote a previous post to ensure you have an idea of what my problem is.

hi, im a lot of trouble and thought you helpful lot can help, im 25 and renting a home costing £300 per month (400 with bills & council tax), i work full time and on a salary of £17k taking home £1200 per month after tax and nat ins, im now startin to realise the mess i might be well and truly in, im finding it hard to have money available to spend with the payments i have to make to my creditors on a monthly basis. im not sure what further action to take but id like some help.

in total i take about £1200 per month in, but with outgoings of about £900 for cards, loans and bills which leaves me with £300 to live on but thats not enough for me and is gettin me in more debt as ive borrowed £1000 off friends and family in the last few months.

my debt situation as follows:

Cahoot loan - 4700 to clear - paying monthly fee of 114.50
Cahoot credit card - 3000 - maxed - paying minimum payments of about 60 per month
MBNA credit card 4450 maxed - paying minimum payments of 125 per month
Mint credit card - 1450 maxed - paying minimum payments of 31 per month
graduate loan 7000 - paying monthly amounts of 154
student loan approx 7000 paying about £30-£50 per month
friends and family advance 1000 - can pay in 100 amounts per month

as you can see im in a right mess and up to my neck in it, it serves me right for the lifestyle ive had and the debts amounted to over the years, im not sure what to do, my parents have bailed me out enough times when i was younger and do not know the situation ive got myself in so im at a dead end and dont know what to do, any advice would be so appreciated.

----------------------------------------------------

Since recently i have been contacted, can anyone reccomend any DMP or IVA companys? i have so far been conataced by

Debtline
W3 Debt solutions *offered me an IVA
Byrom and keeley *referred by thomas charles who suggested a DMP
Payplan

im not sure what to do or who to go with and i dont wanna be getting ripped off as ive read some bad things, also i cant beleive that some of these companies do this all for free cos they sound really helpful and too good to be true.

anyway the story is:
i take home £1100 from my main job and £400 from my 2nd job so that around £1500 after tax per month, but im thinkin of packing the 2nd job in in a few months cos its too tiring, the total amount i owe is 28k in cards and loans, and im paying in total currently £515 per month to my creditors plus my total expenditure per month is around £990 including rent, bills, living costs and travel.
i have no assets and currently renting.


any suggestions would be helpful? or indeed can anyone reccomend any companies to use who dont charge hidden fees for the services.

[lily]

Hi and welcome.

From your own information you have three choices.

A DMP which would take your disposible imcome towards the debts but you have no gauruntee that they will continue to freeze interest.

An IVA takes your disposible inocme for 5 years, you would need to be commited your living expenses should be basic but not extravigant. There are costs involved in the setting up and maintaining the IVA. You must understand fully whats involved before you commit. There are a few not so good companies and many good ones, if you check out IVA.com you will be able to read feed back on this. You will not be able to include student loans and family debts in your IVA.

You say you have already spoken to thomas charles who recommend a DMP??? Then it would seem that this is the best way for you.

Finally you can declare yourself Bankrupt, as you have no assets to lose it may be the best way forward. If your job is not affected, that is.

I am not an expert, just another person in debt and all I can really advise is to do some reasearch, speak to a few companies and make sure you make the right decision for you.

Good luck, dont worry there will be an answer.

lily

[Adam Davies]

Hi
If you pack up the second job and your living costs are £990 it will leave you only £110 for repaying your debts.Both an IVA and a DMP would be unsuitable.
Can you confirm your disposible income after bills etc but not including debt repayments.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[iva.com]

Hi manclad,

At IVA.com we maintain a list of IVA firms and IPs. We also publish reviews of their services that have been posted by their clients.

We recommend that you speak to several firms who have received good reviews before choosing which to work with.

Good luck and please let us know how you get on.

Kind regards,
Terry Balfour
IVA.com

IVA.com - The IVA Comparison Site
100s of reviews, All IPs and IVA firms rated.

Use our IVA firm comparison tool to find best IVA firm for you:
http://www.iva.com/iva_comparison_1.asp

[manclad25]

Total Debts : 28,650.00
Total Debts(Unsecured) : 28,650.00
Total monthly Income : 1,500.00
Total monthly Payment : 1,133.00
disposable Income : 367.00

[manclad25]

My Debts

Type Name of Creditor/Lender Joint? Value
1 Bank Natwest N £2,000.00
2 Bank HSBC N £2,000.00
3 Credit Card Cahoot N £3,000.00
4 Credit Card MINT N £1,450.00
5 Credit Card MBNA N £4,500.00
6 Other Student Loan N £5,000.00
7 Personal Loan HSBC N £6,500.00
8 Personal Loan Cahoot N £4,200.00
Total £28,650.00
My income

Main income

Emp Status Emp Type Freq Value Pmt mthly
1 Employed Full time per month £1,100.00 £1,100.00
Total Main Income £1,100.00
Other Income
Item Freq Value Pmt mthly
1 Partner's Income per month £0.00 £0.00
2 Income support per month £0.00 £0.00
3 Tax credit(s) per month £0.00 £0.00
4 State pension per month £0.00 £0.00
5 Occupational pension per month £0.00 £0.00
6 Personal pension per £0.00 £0.00
7 Child benefit per month £0.00 £0.00
8 Child maintenance per month £0.00 £0.00
9 Other benefit(s) per month £0.00 £0.00
10 Income from lodger(s) per month £0.00 £0.00
11 other(1)temporary 2nd job per month £400.00 £400.00
12 other(2) per month £0.00 £0.00
13 other(3) per month £0.00 £0.00
Total Other Income £400.00
Total Income £1,500.00
My Outgoings

Item Freq Value Pmt mthly
Housing Expenses
1 Rent per month £290.00 £290.00
2 Council Tax per month £53.00 £53.00
3 Gas per month £8.00 £8.00
4 Electricity per month £8.00 £8.00
5 Water per month £10.00 £10.00
Total housing Exp £369.00
Insurance
6 Buildings insurance per week £0.00 £0.00
7 Contents insurance per week £0.00 £0.00
8 Other insurance per week £0.00 £0.00
9 Life insurance per week £0.00 £0.00
Total housing Exp £0.00
Communications
10 Telephone per month £0.00 £0.00
11 Mobile telephone(contract) per month £40.00 £40.00
12 Broadband per month £10.00 £10.00
Total Comm Exp £50.00
Personal and Family
13 Personal pension per week £0.00 £0.00
14 Household costs per month £250.00 £250.00
15 Medical and Dental expenses per week £0.00 £0.00
16 School fees/expenses per week £0.00 £0.00
17 Higher Education costs per week £0.00 £0.00
18 Clothing per month £50.00 £50.00
19 Childcare per week £0.00 £0.00
20 Children's activities per week £0.00 £0.00
Total family Exp £300.00
Travel
21 Vehicle maintenance per week £0.00 £0.00
22 Motor insurance per week £0.00 £0.00
23 Fuel costs (work related) per week £0.00 £0.00
24 Fuel costs (private / domestic) per week £0.00 £0.00
25 Travel costs (Work related) per month £40.00 £40.00
26 Tavel costs (Socail/domestic) per month £20.00 £20.00
Total Travel Exp £60.00
General
27 Television Licence per month £6.00 £6.00
28 Satellite/Cable TV per month £20.00 £20.00
29 Rental costs per week £0.00 £0.00
30 Child maintenance per week £0.00 £0.00
31 Entertainment per month £200.00 £200.00
32 Tobacco per week £0.00 £0.00
33 Other(1)driving lessons per week £18.00 £78.00
34 Other(2) per month £0.00 £0.00
35 Other(3)debts to friends & family per month £50.00 £50.00
Total General Exp £354.00
Total outgoings monthly £1,133.00



could anyone suggest whether i get an IVA or DMP?

[MelanieGiles]

Hi there

You really should take proper professional advice from an insolvency practitioner who will look at your finances carefully and advise as to options. An IVA does look workable for you, but the forum is not really the place to look for definitive and specialist advice regarding the future. You need a detailed consultation with a professional.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[Adam Davies]

Hi Manclad
entertainment of £200 per month would not be allowed in an IVA,this would bring your disposible income upto £567,making a DMP a better option for you as you could repay your debts in full in approx 4 years if you could get interest stopped.
As Melanie states have a chat with several companies and see what they advise.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp