I've had my IVA for 2 1/2 years and although money has been tight, it's been ticking along OK.
I share (pay rent@ child maintenance) with my ex partner and although things were bad, they have now become worse and she has told me to leave and to double the maintenance payments.
I am not going to be able to afford my monthly contributions to the IVA (currently £275) and the only way I will be able to afford to live would be to either lower this to £100 or go the bc route. I have no assets (she owns the house) and the car is worth £500 at max. Would the bankruptcy route be the best way of doing it and would I need to tell my ip?
Hi and welcome to the forum. I'm sorry to read you're having problems. I would talk this through with your IP as you would need to fail your IVA and then become bankrupt, bankruptcy I guess would draw a line under your debts and enable you to have a fresh start, have a chat with your IP and hopefully a way forward will be found. x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
I'm really sorry to hear about your situation. This may be a blessing in disguise and allow you to move on with your life. Only your IP would be able to advise about whether the IVA is viable or you would be better going BR. Do you have a preference for iva or br?
Bankruptcy sounds like the best option available for you at the moment. I would have a chat with your IP to explain the unfortunate circumstances you now3 find yourself in and see what they can suggest. Your child maintenance payments should be based upon the current CSA levels - and your partner cannot simply double the amount you are paying without good reason.
Personally, I'm not the sort of person who wouldn't give up, but with everything going so badly, I feel the best way for me personally now would be bankruptcy.
I will need to look at the CSA payments Melanie - thanks for pointing that out. She has also told me that to see my daughter I would need to get a place of my own, which means no sharing and where I am, the 1 bed flat options for renting is silly money! It all adds up to me being totally broke!
Thanks for your help everyone, can I ask one further question?
What happens with BR? Does the IP just fail the IVA and I then sort out the bankruptcy? I mean, do I need to pay court costs etc and a monthly fee for bankruptcy?
With BR you will need to let your IVA fail, usually by missing three payments. Unless it is specifically written into your proposal, it is unlikely the creditors will make you bankrupt. You will need to do it yourself and it costs £600.
You may find that you have an income payment agreement for three years if your disposable income after priority payments have been made, is more than £99.
As regards seeing your daughter, I don't see that your ex partner has the right to dictate to you where you have to be living. I'd take legal advice on that, you can usually get a free initial consultation with a solicitor or you could try the CAB.
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
Your IP may be in a positon to file for your bankruptcy, but this is actually quite rare these days as most creditors would prefer to be able to chase you directly if the IVA fails. Check the terms and conditions of your particular case.
