do we use the same company for iva and bankruptcy

[glynis.b]

i currently have an IVA, if we want to declare Bankrupcy do we use the same company or can we go somewhere else?

[Moneystinks]

Not sure on your answer but there are loads on people on here who will know the correct answer. Hang on and somebody will answer you shortly. X

[Viki.W]

Hey glynis. Some IPs keep back some money to fund bankruptcy if the IVA fails but please wait for an expert to clarify this. You can make yourself bankrupt if your IVA has failed, you don't need to pay a company, just the court fees and you can fill the forms in yourself. An expert will be along shortly to advise you. Viki X

[Soulgrowth]

Hi Glynis and welcome to the Forum.

One way is to stop paying your IVA for three months and save the money for your bankruptcy fees, after 3 missed payments your IP will default your IVA and you will simply be back at square one with your creditors (this was the advice given to me by my IP when I was potentially in this position). In this case you could even wait for your creditors to bankrupt you which will save you the fees!

You can fill the forms for bankruptcy in yourself or you can pay a fee to a an IP firm who specialises in bankruptcy if you feel that you might need a guiding a hand.

The most important thing though is to talk to your IP first.

Is there any reason for your question? ... is your IVA not working for you?

Debbie

[TheMatrix]

Please be mindful that if your IVA has run for more than 2 years, you could end up being worse off under Bankruptcy.

This is because your credit file will be marked as Default for the IVA (Another 6yrs from the default date before that drops off your file) and a income payment order for 3 years since you were able to keep up those payments on your IVA.

If your thinking about this as a result of one of those unsolicited letters in the mail, I'd ask you to think again. These cowboys are just in it for themselves and do not have you in their best interests.

[Kazzy E]

Hi Glynis, I know someone who went bankrupt yesterday. They did it all themselves. They downloaded the forms from the internet, went to the court, an hour later it was all done and dusted. The just have to wait to hear from the Official Receiver now, so as I understand it, it is easy peasey to do yourself, but I am not sure that, as you are already in an IVA, whether you do have to involve your current IP. Perhaps a expert will be able to advise you further. Rgrds Kazzy x

[Skippy]

I went BR last year after my IVA failed and I did it myself. There are companies out there who charge the earth to complete the forms, but to be honest it's not necessary. I completed them online, and contacted the court for an appointment and took my OH with me!

I didn't wait for my IVA to fail before I petitioned for BR, but now some courts want a letter of termination from your IP before they will make you BR. You will need to check this with your local court. I missed a couple of IVA payments to save the money for the fees. There is a fee of £495 to go BR, but if you are on certain benefits you are entitled to £150 of that back.

How long have you been in your IVA? As Inaiva says depending on the length of time you could end up worse off.

Have your circumstances changed since you went into your IVA? If so, have you spoken to your IP? They may be able to propose a variation to your payments.

Final point, if you have received a letter from the IVA Council or anyone like that and you are happy with your IVA, chuck it in the bin!

[Cybus]

Could you provde some further info as to why you want to go bankrupt, given that you are currently in an IVA? How far in are you?

You first need to check the terms of your proposal(as modified)to determine the circumstances under which the Supervisor can present a bankruptcy petition and any provisions for retaining funds to do so.

If you are struggling with your IVA, the first port of call is your IP as it may be possible to do something for you as a short term measure at a difficult time.

If you are petitioning because you have received correspondence from a third party that says you are better off going bankrupt than you are in an IVA, you need to think extremely carefully about what you are doing. Just have a quick read of this topic ...

http://www.iva.co.uk/forum/topic.asp?TOPIC_ID=11571