I entered into an IVA just short of 2 years ago. In October this year I received some correspondance from one of the creditors claiming a default for the £345 i owed them. This creditor and the amount was on the list of the creditors that form part of my IVA. I contacted and sent the correspondance to my IP. I have now received a CCJ through the post for this amount. I have informed my IP who says there is nobody in the office today that can deal with this so I will have to wait till tomorrow. Can anybody advise on what now happens? I dont want a CCJ against me 2 years into my IVA! This looks like an admin error by either my IP or the creditor but I dont want to pay the penalty with a CCJ! Any advice???
My understanding is that once in a IVA a CCJ cannot be put on your record - speak with your IP tomorrow and ask them to deal with this and the creditor direct - it needs to be removed.
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It is an error on the part of your creditor and not the IP - and a simple application to Court ought to see this removed. Make sure your IP asks for costs to be awarded in your favour, as we really should not have to deal with such tedious incompetance on the part of some of these lenders. I assume that the creditors was included in the IVA at the time it was proposed?
Hi
If the debt was included in your original proposal then you have nothing to worry about.
Defaults can happen after an IVA has commenced and will be on your credit file for the six years, similar to the CCJ.
Ask your IP to write to the creditor concerned, also write to the court and ask for a form to have the judgement set aside.
Regards
Many thanks all. The Creditor and the amount is on the original proposal so it looks like an error on the creditors behalf. As long as this can simply be removed I hopefully have nothing to worry about. Thanks for your support.
Write to the creditor and point this out and indicate that if they don't sort it out quickly by getting their CCJ removed it will cost them more money! Enclose a copy of your Proposal as well.
Regards, David Mond, Insolvency Practitioner for over 46 years. Personal Insolvency Practitioner of the year 2012, Personal Insolvency Practitioner of the year finalist 2013 & 2014 awarded by Insolvency & Rescue Magazine and 2015 finalist for Personal Insolvency Firm of the Year.
