Current IVA, not sure if its for me

[catullus]

On the little information you've given Jhonnie, my guess would be that you would pay (far?) less in a bankruptcy.

Do read the blogs that people have written here about BKR, I've learned a lot, you surely will too.

BUT SPEAK TO YOUR IP and then come back to us here.

[MelanieGiles]

Jhonnie

You are asking us to advise you on the impossible. Neither Catallus or I can confirm what will happen to you post-bankruptcy, as we do not have full details of your case history. We have both suggested that you speak to your IP about this as soon as possible - trust me that is the very best advice we can give.

The OR will review your case, and make a determination based on the facts in front of him - but rest assured that he will not take money you cannot afford to pay.

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

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[lily]

Catullus

Based on my experience of this and other forums, lots of people do an IVA without understanding what they are going into. It is because of the pressure from creditors and the fear of not being able to make ends meet, shame, guilt, etc, etc, etc.

With respect, its not screaming obbious to the likes of me and the poster what our options are, IVA or BR is not something we do everyday. It is very, very scary when you realise you have a huge problem and no answer, whatever the cost or the understanding, you grab it with both hands.

I would have felt that you were blaming me, if I had been the poster and I would have felt really bad. I just wanted to give some reassurance to the poster from a debtors point of view.

I would not trust this company or any 'advice' that they might give.

Jhornie, I really do understand your fear, but please do not worry, you can get through this.



lily

[Sadsack]

It is in my opinion as a debtor, that too much emphasis is placed on "blame". As debtors, we are only too aware of our mistakes, we live with them everyday. We borrowed the money, we spent it, had a ball doing it and we now have to face the consequences. Whilst I agree that it is our fault that we got ourselves into this mess, perhaps on closer inspection, our debts may not just be on credit cards and store cards etc. There may be other reasons which are more personal and a lot more difficult to talk about.

Lily, I agree with you - as debtors we will grab onto anything with any amount of hands!

Jhonnie, as the IP experts on this forum have advised, your best bet and first point of call is your present IP.

Good luck and keep posting here.

Sue

Ho Hum! Think I'll bang my drum!

Read My Blog
http://sadsack.blogs.iva.co.uk/

[mish1953]

Sometimes opening your eyes is not enough .
Sometimes we need to open ours eyes, then open them again.
Seeing is not enough we need to see and understand .

John nie needs to speak to his IP as it sounds complicated .

Zen Master
Mish

[mish1953]

sorry typo - Jhonnie

oops

Spelling failure
Mish

[catullus]

The purpose of my post was to warn people of the dangers of entering in to something they don't understand.This is a fundamental principal.

Its nothing to do with blame. But if you (and me) look back on the worst mistakes you ever made you probably would agree that a lack of understanding was a major reason for the error.

Its understandable that people feel vulnerable and intimidated when in financial difficulty but the one thing that people can do to help themselves is make sure they understand.

If one person reads this post and decides not to "grab on to anything that is offered to them" without first resolving to understand the reasons first, then I'll be happy.

[lily]

I hear what you are saying loud and clear and I agree. There would not be a need for a site like this if everyone understood and didnt hide or feel ashamed, or companies like synergi did not exist.

It took me six years to qualify for my chosen career as an independant health professional, however I do not expect every patient going through a particular treatment plan to understand fully the pros and cons at every stage, its up to me to explain, reassure and work in their interest. There is always going to be an element of 'trust that the professional is acting in their best interest'.

Unfortunately when one is falling, scared, isolated, ashamed and alone, grabbing is instinctive, however wrong it may be.

lily

[Sadsack]

Point taken.

However, we, as debtors understand only too well that we are in debt and in deep trouble. With so much emphasis on IVA television advertising and pamphlets through the post box, we respond accordingly as "someone out there is offering a solution to our debt problems"! Hours are spent on the telephone talking to an anonymous/faceless person who is offering a way out of debt. When explained and clarification is sought as to your understanding of what you are undertaking, it is so easy to say yes, due to the fact that it IS easy to understand. The problems arise when the creditors meeting is held and modifications are introduced into the IVA that everything seems to go to "misunderstanding". The mere fact that the IVA is accepted, subject to these modifications, the relief the debtor feels is inexplicable.

For example, if the original proposal is put forward at 25p/£ and monthly payments are a set amount, yes, we understand. When the modification is put forward to perhaps 40p/£, the monthly payments stay the same due to the fact that there is no more disposable income to increase this, an equity clause (assuming the debtor has a property) comes into effect. Along with this are the IP costs which are clearly explained at the outset - you do not pay us, this is included in your monthly payments - that the misunderstanding really becomes an issue. 9 times out of ten, you will find that should the debtor wish to conclude the IVA early by raising equity or having a friend or relative offer the money, it is not just the 40p/£ that has to be paid, the IP costs are added to this as well and that could possibly equate to a further £6k.

Now I do realise and accept that the IP needs to be paid, far be it for me to begrudge this as they are doing all the "leg-work", but what I do feel is that in some cases the fees charged are exhorbitant.

To conclude, debtors are not IP's and do not have all the answers to the problems we face, hence this forum. I think it fair to say that the biggest understanding a debtor has is that Credit in any shape or form (except property) is a nightmare.

These are my opinions as a debtor trying really hard to give my creditors as much as I possibly can.

Ho Hum! Think I'll bang my drum!

Read My Blog
http://sadsack.blogs.iva.co.uk/

[scaredkez]

in my circumstances i was given 2 options by synergi, iva or BR which one would you choose when you are at the worst moment of your life trying to find the golden spade to dig your self out?
yes i should have been more aware but the practice of this company is don't worry we will sort it all out for you everything is going to be ok, even when i went back with my concerns why was my expenditures changing etc, they are not a very helpful, informative company, it wasn't until i found this site did i realise a lot more of what an iva is about, so who's fault is that? is that mine? i did ask, as in any profession the onus is on the professional to make sure you the client is well informed and understand what is going to happen, or then are you not in breach of your professional conduct for going ahead knowing full well that the client is not fully aware, swings and roundabouts?
kerri

Please view my blog at: http://scaredkez.blogs.iva.co.uk/

[lily]

quote

What I did say is that he went through a procedure that he didn't understand and that really is his fault and far too many people do it.Everyone has a specialisation and everyone , in their field, has stories about "mugs". I'm afraid insolvency is no different.


I find that I am insolvent, living on credit, I know its got to stop but how?? Who do I turn to? I am ashamed guilty, scared stupid and in total panic. I hear from the TV about government legislation that could help me, I pick up the phone, and tell my story, its so hard because I am so ashamed. Someone is willing to help me, hey ho, they know how to end this nightmare. I do not care what it takes and will do anything, that’s how desperate I am and I stop thinking about suicide and start thinking I have a chance.

I know nothing of insolvency, why would I?? The person on the other end of the phone is my saviour, I hang onto every word and do as I am told. Does it matter if I do not totally understand what the procedure is or should be?? No, because after discounting the other two options as too long and too scary this is my only chance and I have to do it. Have I considered that I am being taken for a mug? no, far too scary and I am talking to a professional.. |I have this one and only chance to get it right, for me it is a one off journey, for you its an everyday thing.

How can I be expected to jump up to your level of understanding? Would it be impossible for you to jump down to mine? I haven’t had your years of experience; this is your bread and butter. This is my hell and I am trusting you with my future.


Does this mean that anyone with special needs or limited ability to understand the procedure or what they are being told is what should be happening (ie a 950 pounds consultancy fee) is destined to become a ‘mug’ and its their fault for not understanding??? I find that very unsettling.


lily

[Skippy]

When I entered into my IVA even when I questioned things I was told not to worry. There was something wrong on my I & E and when I pointed it out I was told not to worry as the figures added up and that was what mattered! In the end it turned out that they didn't, and that bit was my fault.

With hindsight, I basically feel as though I was told I didn't want to go bankrupt when it would have been the best thing for me and I would be 11 months in now.

I think a lot of the problem is the high volume IVA providers - all they are interested in is getting people into IVAs at any cost. They don't take the time to explain things properly. I am not including my own IP in this - it was him that explained BR ot me properly and made me realise that it was the best option - sadly he wasn't my IP at the beginning of my IVA.



Yesterday is history, tomorrow is a mystery, today is the present - a gift to make the most of.

View my blog at http://skippy13.blogs.iva.co.uk/

[Adam Davies]

Hi
An interesting thread
I think one thing that we[people who are/have been in serious debt] can all agree on is the fact that when you are looking for a solution you are very desperate.You just want to have someone help you and you put alot of trust into a company that offers to help.In retrospect,years down the line and totaly compos mentis I know that a person should do their homework and make sure that they fully understand the IVA[as Catullus rightly states].However due to the reasons above people need protection and this protection must come in the form of best advice.I hope that the debt resolution forums plan to have each person that comes in contact with Joe Public sit an exam as a positive move,remember in alot of organisations the debtor will never speak with the IP instead they rely on a case worker or similar and maybe this is where the problem lies.
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

[Jhonnie]

To all those who have an opinion on this topic and those who are trying to help me, i thank you.

I feel i may have caused some kind of internet row over my situation and information and guidence from those on this site.

I have to say although harsh words were said when i realy didnt need to hear them last night Catullus was right i didnt read the stuff so i signed what i didnt understand, but what does need to be considered is the state of mind of those who are seeking help.

I feel lucky to have found this site when i did and to now know that Synergi are not interested in me as a person but a number and someone who is in debt. I have made 14 payments and struggled, now thanks to all your advice i have chosen, knowing all the facts and what it means, to register for BR.

This site is worth its weight in gold for anyone in this situation. My only wish is that i had seen it before the glossy advert for The Debt Counsellors who then led me to Synergi. I would now be a discharged BR and be half way through my payments.

I will keep you all updated on my progress.

Cheers

Jhonnie

[lily]

Hi Hhonnie

I am really pleased that you have come to a decision and are making an informed choice with regards to your BR. Please dont worry or think about causing a row, the forum does get lively sometimes, I respect that Catullus is a professional and has her point of view as a 'lay person' I have mine and said so. As you say, its at the time of the worst worry and stress that we make our decisions, its up to us to find to avoid the rougue traders and pick out the good eggs by our own research. If we didnt feel as ashamed and guilty about our debts and it was talked about more instead of being the ultimate embarrassing problem we choose to hide, then it would be easier to learn and understand what the process of enlightened debt freedom should be.

Wherever the blames lies in all this is really not the issue, you came here for help and I hope that the forum was able to help you with that, you are not alone and there will always be plenty of support for you.

Please come back and tell us how you are doing, we are all hoping for the best outcome for you.

Good luck

lily