Don't Need the IVA anymore!!

[Ryan84]

so what do you guys think will actually happen when i tell them?

[jpj]

Hi Ryan

Your IP will probably not just want to put your payments up at your review,they may want all the outstanding past money you should have paid over too in the previous months.(which may really add up)

You dont say how much your IVA debts were for? obviously it dependes on the amount as to wether the DMP would be a better option for you.

If the company you work for have doubled your pay in such a short time, will they be upping it again? thats a factor you also need to consider as the IVA will take it.


You should not be having to subsidise the company that you work for.
I hope you charge the company set mileage costs to include petrol,tax,keeping the car maintained etc for the miles you do.

[aguise]

Hi Ryan
I think the same Ryan they will adjust your payments accordingly, and may ask for some backdated. I think the sooner you speak to the the better. Though you will pay more you will not pay more than the original debt plus IP fees. At the same time ask them for a new income and expenditure as things have changed with your new job and include all rises in utilities etc that you have.
Speaking to the Ip is the best thing to do and sort it out so you dont worry.

Ang

[MelanieGiles]

My advice for what it is worth it increase your payments to as high as you can afford and get the debts paid off as quickly as you can. Bankruptcy may not be the solution you are looking for, especially if you apply on the back of a failed IVA because you did not want to increase your contributions.

[Ryan84]

Thank you so much guys, i really appreciate the advice.. This nonsence has been keeping me up at night, and i love my sleep....

My debts werent THAT high.. i think it totalled out around the 16,500 mark.. 3 credit cards, a fancy car on finance, loan, overdrafts and student loans included..

If the IVA failes.. perhaps a DMP might be the better option.. Bankrupsy would seem silly.. but so would paying a daft ammount - even if i pump 500 + a month into it, with all the crazy charges my trusteeeee puts on it.. it will still take 3 years to pay it off.. 3 miserable years..

Also, my salary WILL be going up again, either by another couple of k.. or dramatically!

Im in IT, im a software developer / consultant and early next year i plan to go contracting which is typically a daily rate of about 300 - 400 depending where i go..

in a six month contract, i could settle the damn 16k.. -

I signed the IVA/Trust Deed to get me out of hell and when i got myself on my feet, im getting the feeling that its gonna drag me right back under..

I don't wanna get into trouble.. so i'll give my supervisor a call tomorrow and explain.. i think she'll tear me a new one (she's pretty direct)...


thanks again..

any and all tips / opinions welcome..
for once i don't feel alone in this..

[Viki.W]

Hey Ryan, I personally don't think you'll have a problem if you follow Melanie's advice. Increase you payments and pay all your debt off. The most you will have to pay back is the original debt plus interest plus IP charges. Pay it all off as quick as you can then when you get your next pay rise, you'll be debt free. Good luck, Viki X

[luluj]

You borrowed the money in the first place to live your life, you now should pay it back - if that means all your disposable income is put back into the IVA for your creditors then so be it.

Sorry but I cannot understand at all why you felt you did not have to inform your IP of your substantial payrise the first or the second time around ....you now run the risk of having to payback a considerable amount of money you haven't got - they extend the term of the IVA to ensure they get this money back!

My husband had a £3k payrise in May this year -we informed them within 5 working days, and because we informed them they have said that until our review no change topayments - after that date depending on our expenses our payment may change - had we not have informed them in advance of our review meeting then I was told that we would have to back date the additional payments!

We enter IVA's to be given a second chance of success in this world - we cannot think IVA's are something we get easily withdraw from !

[e.h]

Can I just ask a quick question here? Has Ryan not had to send any payslips to his IP? Any salary increase would be reflected on those, surely?

Liz
x

[MelanieGiles]

It depends on what he was asked to or was required to do Elizabeth.

[e.h]

True.

[freelili]

Hi Lulu

I think Ryan is aware of the mistakes he has made, is losing sleep and came here for help. Temptation is sometimes hard to resist, then when its been a couple of months youre kind of in the mistake and its not so easy to step back or go back.

I understand that IVA's are a second chance but sometimes they are very tight and when youre struggling it must be very easy to take a little liberty here and there. When youre under the cosh to find money to enable you to continue to progress or do your job the temptation is more of a need. We all appreciate its important to be honest though, therefore this might be difficult to put right...

I think tempation probably got most of us here, but also the willingness to do something about it made us feel worthy again. None of us know whats round the corner and some 'good' decisions may become questionable if our fortunes change for the good or the bad... If I may say so...

[OPTIMIST12]

EXCELLENT post luluj - you have just the right sort of attitude that will help prove to Creditors that debtors are genuine and honest about repaying their debts.

As I see it Ryan has seen his pay increase from 14k to 28k with possible further dramatic increases. Surely with a low level of debt - 17k??? - a 100% repayment to Creditors must be the only right option on that level of salary??? Can anyone honestly disagree???

Good Luck Ryan - set your mind to repaying that 100%. You know its the right thing to do.

[chris.g]

I do agree with Lily, temptation is very strong, especially on a tight budget. I also agree that he should have informed his ip of the pay rise.
Ryan's realised his mistake and wants to rectify it. The longer the 'lie' goes on the harder it is to own up....shame and fear gets the better of you.
Well done Ryan for owning up to us, it's not easy, now own up to your ip.

[Ryan84]

Yeah, thanks for all the advice..

To be honest, there is absolutely no way i am going to call my ip and tell her that my salary has went up.. Not so they can tighten the rope around my neck even more and crucify me for not telling them sooner..

I genuinly don't care if anyone thinks thats dishonest.. I don't consider the IVA to be a second chance.. It was a last desperate move i took (regretfully i might add) - What i SHOULD have done is contact my creditors directly and tell them i was struggling.. make arrangements with them.. i freaked out and every vulturous IVA company called my mobile for months afterwards trying to suck what money they could out of the situation..

I new i'd eventually get to where i was working towards career wise and if i'd held on and thought clearly i'd be fine right now.. A DMP or even a b***** consolidation loan would have been fine..

Now im stuck for three years not knowing how much their going to ask for at my next review.. struggeling month to month.. Can't save!! - so nothing for emergencies..

I can't go bankrupt as i intend to take my specialism a few steps further and go contracting in the next year.. which means i need to establish a LTD company to manage my own taxes etc..

So what do i do?

Can i get out of the IVA/Trust Deed and attempt a DMP?

--

I know what i will do though, when it comes to my review i'll pretend i knew NOTHING about how a change in my salary effected my trust deed and i will very carefully document my expenses to justify a minimal increase..

if thats not good enough for them.. I have a gesture in mind..


--

Im very stressed out about this.. As much as i appreciate the support i don't need to be told how much of DUCK ive been by you guys..

QUACK!

[Viki.W]

Hey Ryan, You could possible let your IVA fail and then try and do a DMP. Not sure how that works though. I think it's obvious what you have decided to do so you probably won't be reading this anyway!!![:I]