Has anybody heard of an 84 month IVA? I am being pushed into one. 72 months plus 12 months or equity release.
I am also being forced to sell my car which we need for our severely ill child. These faceless people have no heart. I know it is my own stupid fault for getting into this position, but I cannot believe how callous these people are. There already was a high return offered and they have asked for even more.
This isnt right I dont think, have you only spoken to one company? Have you had all of your options explained? If you need a car for your severely ill child then you should be able to keep it. Are you actually in an IVA or just at the start? If you could post more info I am sure you will get some feedback.
IVA's are five years although some may go on for an extra year if the equity cannot be realised.
In principle there is nothing wrong with a 7 year IVA - they can be over whatever timescale is agreed between debtor and creditors, but who is it requesting this - the IP or your creditors?
I have just re read the heading, do not agree to this unless youre 100 per cent happy.
Yes its our fault we got ourselves into a mess but we do deserve to be treated fairly when trying to address our problems and our individual circumstances should be taken into account. The clue is in the name, individual voluntary arrangement.
I would certainly take further advice about this. I have a car which was just over two years old and worth about £8k when I entered my IVA and it was never mentioned at all.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Thanks for the very quick reply Lily. Our creditors meeting was today.Unfortunately it is right. Our main creditor knew they could basically ask for whatever they want as they had over 25% of the debt and that is their modifications.
Apparently there is a few grand in our car and we have to sell it and give them £5,000. Our child is constantly at the hospital and we need the car for emergencies as well as planned outpatients etc.
I have never heard of an 84 month IVA before either, which is why I am confused.
I still feel that this is unfair, yes creditors do call the shots but on the other hand is it reasonable to take a car from a sick child? Can you manage without this car for 7 years? If not then youre not going to be able to maintain this IVA. Even if the creditors have you over a barrel now, if its not going to work, dont agree to it. There are other options. There is no way a trustee in BR would take a car away from a sick or disabled child.
Good luck now hun. I think this must be a very difficult time for you.
Would a cheaper car not also be able to do this? How much is your current car actually worth?
See my previous answer with regard to the duration of the IVA - is it Northern Rock who are demanding such a long repayment period, and if so what was the duration of the loan you took out with the creditor who are making the current demands of you?
One more thing to bear in mind here, if your child is in and out of hospital, do you have an allowance for this? I know from experience how expensive this can be. How much time are you likely to lose from work (you know you can only claim 3 years carers in one year). How suddenly things can change in the space of a week let alone a month.
The creditors are asking for the car to be sold (worth just under £10k). They want £5,000. The same creditors are asking for 84 months too. It is the same creditor I reported for harassment. My IP says there is nothing they can do.
They did also ask for the IP fees to be lowered. Even I thought they were quite high, but that is no my concern I suppose.
So youre not going to be without a car they just want you to have a cheaper one, fair enough then I guess. As long as you can get a reliable car for the amount you get back from the sale.
I have to say that it does not appear too unreasonable for the car to be sold, leaving you with an allowance of approximately £5,000. You could buy many reliable vehicles for that sum, so long as it has not been specially adapted to accomodate a disability.
How much was your IP proposing to charge in fees as a matter of interest?
If you have a severely ill child, can you not get Disability Living Allowance for him/her?
If you could get the higher rate mobility, this would give you a free car every three years.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Yes Melanie it is NR asking for the extended period. The original loan was for 10 years.
I know we can downgrade the car, but my wife drives and she does about 30,000 miles a year and she has said she will pull out of the IVA and let me go alone rather than lose her car. Our marriage already in difficulties.
I think we should have about £4-4,500 to buy a new car, which I suppose we should be thankful for, but unfortunately my wife doesn't see it that way.
My IPs were charging 15% a year of the debt plus set up fees etc, so that was quite a lot!!
All I will say about your wife threatening to leave you to it - are some of the loans joint? If so, and she did do that, is she aware that she would be chased for all of the loan, not just her half?
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
