changing to a different IVA company?

[barry.l]

I have had an IVA for the past 2 years & I am not content with the company that I am with. Is it possible to change to a different IVA company?

[kallis3]

Hi Barry and welcome to the forum.

I don't believe it is possible to change companies once you have started your iva.

Hang in there though, and one of the experts will give you a definite answer shortly.

[Adam Davies]

Hi
Kallis is spot on.
You will need a court order for you to be able to move to another company.
You can have your IVA failed and then take out a new one but this is not to be recommended
Regards

[MelanieGiles]

And to get a Court Order you would need to have a very good reason why this should be effected. What difficulties are you currently having with your IP, and which firm are you with?

[Soulgrowth]

Hi Barry ... just wanted to say welcome to the Forum.

Why are you are unhappy for your IP?

Debbie

[barry.l]

To all, thanks for your advice. The company I am with is SPW Poppleton and Appleby - its the admin staff and other things, but its particulary one individual by the name of Moz (obviously not his real name), I seriously doubt he actually knows what he is doing!! But luckily his boss returns from on Tuesday!!![:D]

[Soulgrowth]

Hi Barry

I haven't heard of that company ... perhaps it would be worth mentioning this to you IP ... presumably that's not "Moz". Is everything else running ok with your IVA Barry?

Debbie

[barry.l]

hi Soulgrowth,

Thank you for your concern. In fact the IVA is not running well for a number of reasons:

1. Due to a error in trusting my soon to be ex wife, she "forgot" to pay three months worth of the IVA, which left me £1080 to pay back and which in effect 3 mths of £360 (which is my monthly contribution), luckily enough I have managed to get that down to £690 now and also fortunate that the IP company did't bankrupt me.

2. I had a second bank account (First Direct) which I was told to open by the IP when I first stated the IVA in 2006, as one of the creditors was my own bank (it was an outstanding loan, but more on that later) and there was a possibility of them closing my account. However, I have gone into the overdraft and recently told First Direct, I no longer need their acct, so they set up a loan repayment for me, of which I paid off a £150 off a £1030 debt, I was unaware that this was a violation of the IVA rules and my own fault for not reading the small print, but I honestly believe I was doing the right thing. I now have to do a written letter to my IP and plead ignorance!

3. The bank loan mentioned above was for a fee of £19252 with HBOS and when my IVA started in May 06, this was included in it. But on viewing the paperwork a couple of weeks ago, it has 'disappeared', I had thought that my sister had paid this off and told the IP this, however I was wrong and had to do some digging myself. HBOS transferred this debt on Dec 06 (effectivately taking it out of the IVA) to an outside agency which I was told wasK KPMG who were dealing with the IP, but the IP have denied all knowledge, so I have to go and get a 'statement of account' from KPMG, which sounds bizarre, why am I chasing up a debt company on behalf of IP?

As ever, I am grateful for any advice, as these situations are getting me down. Many thanks.

[kallis3]

What happened to your post barry?

[kallis3]

You've obviously been back and edited it! Just wondered as it stopped in mid sentence before!

Your situation is very complicated. Not being an expert I cannot answer any of your questions, but I am sure that Melanie will post on here again.

I hope you get your problems sorted.

[Soulgrowth]

What a pain for you Barry, you sound as if you are having quite a stressful time of it. Perhaps one of the experts will be able to offer some advice. Do you have any specific questions that might help your situation to receive some answers ... sometimes it's a good idea to take a step back and make an attempt to see the wood rather than the trees.

Debbie

[MelanieGiles]

KPMG are not a deb collection company, but are a large international firm of Chartered Accountants who used to have HBoS as a client.

The above points do not sound grounds for making a complaint about your IP Barry. It is not their fault that your account is in arrears, or that you have borrowed money without getting authorisation, and the creditor issues is easily resolved.

I am sure that your IP must be aware that The Insolvency Exchange now act for HBoS accounts, so it is probably better to chase them rather than KPMG.

[barry.l]

Melanie,

Thanks for your advice, it is always appreciated.
Furthermore to the problem mentioned above, HBOS have finally 'found' the missing debt and are dealing with my IP to incorporate it into my IVA. To further compound the situation, HBOS have now closed my current acct with them, leaving me to pay approx £1900. I have attached the email from my IP which I received this morning:


'As previously advised, we have received a completed claim form from HBOS for £14,360.11, although we have further requested statements of account from HBOS to confirm this figure. This, as you aware, was part of your statement of affairs at the start of you IVA, therefore, it will be duly admitted into the IVA once the Supervisor has seen proof of the figure quoted.

As previously explained, the debt in respect of having an overdraft with First Direct, having arisen after the IVA began, cannot be included in your IVA, and, as you have confirmed, is being dealt with external to costs included in your IVA income and expenditure.

Furthermore, I confirm that HBOS have issued our office with a second claim form for £1,955.60, which I believe is a debt in respect of the overdraft following HBOS closing your bank account with them. Therefore, as this debt to HBOS has arisen after the IVA began, it cannot be included in the IVA, and you must deal with it external to costs included in your IVA income and expenditure, in a similar manner to the debt due to First Direct. Therefore, this claim by HBOS is being rejected by the Supervisor, and HBOS will shortly be informed of this, following which, you will have to deal with them directly regarding settling the overdraft.

Regarding the expected completion date for your IVA, I remind you that the main criteria for your IVA being concluded is to pay Creditors a total dividend of 38p in £. To date, 6.55p in £ has been distributed, and, based on monthly payments of £360, in addition to the HBOS claim standing at £14,360.11, a rough estimate is your IVA concluding in approximately 40 months. Should this prove to be actual case, namely, having to exceed the 5th anniversary, then you will need Creditors’ approval by way of a meeting, although this can be dealt with more closer to the event. Note however, currently, IVA clients are expected to meet the costs of any meeting not expected as part of their IVA of £1,000 + VAT (£1,175) as Creditors do not accept such costs being drawn from IVA funds, so it is more beneficial to you to be able to increase your rate of monthly payments to conclude your required payments, and meet the dividend mentioned above, by the 5th anniversary'


My questions now are how much do I need to pay to meet this 38p in the pound? I assume it must be roughly £1000.
If I meet this payment just once in the 5yr period, do I still get to finish the IVA on time?

Once again, many thanks.

Baz

[MelanieGiles]

I cannot possibly answer that question Baz without full knowledge of your file which of course I do not. Your IP seems to have indicated that you will need to pay a further 40 payments of whatever you are currently paying, so that should give you some idea of the sum required.

[barry.l]

Melanie,

As ever thank you for your advice, further to yesterday I have received an email from IP, it was sent from Moz (who I have mentioned above as unprofessional), be grateful if you can have a look at it please:



'Further to the email below, we have received statements regarding the HBOS claim (Ref: D/35176784—4) mentioned below.

We have subsequently contacted HBOS who have now clarified the situation, namely that, the above account was in fact overdrawn at the start of your IVA in May 2006, and that it refers to the same account recently closed by HBOS. Regrettably, due to the limited information being provided to our office, we were under the false impression that this account was in credit in May 2006, and only later did it become overdrawn. Consequently, in contrast to the advice previously given on this account, it will be admitted into your IVA, although the amount of claim is that on the statement dated 18 May 2006 of £2,257.74.

We are still awaiting statements regarding Ref: 7/10370279-10.

Therefore, on current information, you will only be responsible to deal with the First Direct debt outside the IVA'



Firsty I never gave them any indication that my Halifax bank acct was overdrawn or not, as I was still using it. I believe this is HBOS's fault that they 'lost' their initial loan to put into my IVA 2yrs ago and if it wasn't for me checking the IVA earlier this year, that this anomaly would of never been brought up (mistake on my part I think) and now HBOS have closed my bank acct, leaving to use my partner's bank acct.
I know that I can't change my IP without going to court, but who will give me a bank account now?

Be grateful for any advice.


Baz