debt free direct

[jim_h]

i dont know if anbody else has had dealings with this company to start with my payments were 108 pounds a momth for the first 9 months which i could afford than 220 pounds any way ended up selling my house as it was being repossed have wasted 18 months still waiting for a reply they said they wanted 300 pounds amonth plus 12 months arrears have not heard anything for 4 months now tried phoning no luck i asked for a variation meeting what do you suggest i do

[MelanieGiles]

IVAs which have payments of below £250 per month are most likely to fail in my opinion, but this is no excuse for poor service or lack of communication from a professional company.

[olympic_torch]

Melanie
Why do you think that?
Is it because lower payments mean you are tighter for cash to begin with because you have
a lower disposable income?

[MelanieGiles]

The budgets are generally lower, there is little flexibility within, the costs outweigh the benefits to creditors and in my experience there is a high failure rate in this bracket.

[olympic_torch]

Oh heck.
I've gone from an artisan to mr average, now my IVA is likely to fail.
Infamy, Infamy, etc

Hi olympic_torch
we agree that mr average is boring! we'll get you back to mr artisan as soon as the support team get back on monday [:)]
cheers, admin

[ianmillington]

I agree with Melanie primarily because of a costs issue. However bear in mind that this case is 18 months old i.e pre-TIX.

Unless the contributions reach a certain level, the fees the IP needs to generate simply to make it pay can be disproportionate. I'm afraid in the current climate (TIX and the like where the nominees fees will be th first 4 or 5 contributions) Jim's case would probably not be an IVA.

Whilst this is all very interesting, none of this helps Jim in any way.

Jim - Would I be right in interpreting that you were able to pay the first 6 months at £108 but because of what went on you ceased payments and your arrears are 3x£108 plus 9 x £220? It would certainly seem that an unsatisfactory situation has been allowed to develop.

I note you've asked for a variation. That probably has 2 problems:
1. As you are 12 months in arrears any variation is likely to lack credibility
2. The Supervisor just might be too embarrassed to propose a variation having presided over 12 months default.

The above accepts everything you have said at face value.

Is there any compelling reason for wishing to keep the IVA alive, given that you have lost your home? Depending on your employment Bankruptcy might be the preferred option. Why are you seeking a variation?

Regards

Ian

[jim_h]

since may 2006 i paid 9 months at 108 pounds than started to pay 250 pounds got behind with mortage payments due to reduced income i was told i needed to have a variation meeting as my house was being repossed have lost all faith with debt free direct anyway please can you tell me if my iva fails do they add fees to the debt

[Adam Davies]

Hi
Creditors are free to start adding charges and interest,they will normally,if they haven't already pass your debts onto a collection agency
Regards