Endowment

[honeybunny]

I have cashed in our endowments & ISAs to pay my sister back what we borrowed from her as she gave me until 31/12/07.Will this look bad for me? I have not yet defaulted on any loans or credit carsd or started an IVA but will probably need to in a couple of months.

[Adam Davies]

Hi
I don't think that in an IVA that this will be too much of an issue,it would under bankruptcy though because you are in affect preferring one creditor over another.
Have you contacted an IVA provider yet ?
Regards

Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[honeybunny]

No we are having a family meeting after christmas to decide the way forward.I think it is selling the house asap.

Can unsecrued creditors make you bankrupt if you are willing to sell the house asap & my share will cover 80% of the debt which I am willing to pay as I am the one responsible for running the debt up therefore I should be the one to lose my share.
I Can not beleive I have jeopordised my families future.It is beyond belief!The guilt is so bad it is torture even though my husband & kids have all been great so far!

[MelanieGiles]

If you are in a position that you can no longer service your creditor repayments at the contractual sum, then you should not have preferred your sister over the other creditors. If you do decide to propose an IVA in the New Year, this action will need to be disclosed and your other creditors may well not be sympathetic.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[Adam Davies]

Hi
Unlikely as they will receive more if you sell yourself.
Have you considered a full and final IVA with the lump sum from your property ?
Regards

Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[honeybunny]

Andy

what is a full & final IVA with a lump sum as soon as we sell. It will not cover 100% but probably 75-80%

If as a director of a company I am employed can I still apply for IVA?

[Adam Davies]

Hi
A full and final IVA is where you offer a lump sum,through an Insolvency Practitioner,to you creditors.They will be given a date to vote on the proposal and as long as 75% or more of debt held by creditors voting on the day vote yes then it will be agreed and binding.
Yes a director of a company can enter into an IVA.
You really need to have a chat with an IP and discuss all options open to you
Regards


Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[MelanieGiles]

If you have made up your mind to sell your property to deal with your debts, and IVA would be a much better way to do this than via bankruptcy, as creditors will get repaid more money due to the significant cost savings.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[honeybunny]

I own 50% of the house after the mortgage which should cover like I said the majority of the debt 75-80% I would think.Is it something the creditors tend to favour a sale to make a large lump sum payment. If I do this will the IVA be finished?

[Adam Davies]

Hi
Yes they do as they get their money alot earlier than if you were in a full term IVA.
IF accepted and once the money has been sent out by your IP your creditors would write off any remaining debt
Regards


Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[MelanieGiles]

You have the makings there of a pretty good IVA offer, providing you are prepared to put the property on the market. If I were acting here, I would propose the IVA now allowing a period of up to 12 months for you to either sell or refinance the property, thus releasing equity to enable an offer to be made to creditors.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[honeybunny]

Thank you Melanie & Andy for your help I am very pleased to have found this forum.

I would have hoped to have sold within 12 months but if the property market does slow down(well it has a bit already) would they extend the period as we would not be able to refinance as we have a large mortgage allready.

[MelanieGiles]

Yes - because if it hasn't sold under the IVA, bankruptcy proceedings will not speed that process up at all.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[Adam Davies]

Hi
That's a good point Melanie
Regards

Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[emma_t]

hi honeybunny

Guilt is an awful emotion as there is nothing you can do to change what has happened....whats done is done as they say
I really felt guilt, shame, sadness, etc,etc about my financial situation but whats important now is the best way forward for you and your family.
I would suggest contacting a professional for advice asap and you will feel better as you will know exactly what your options are. Melanie Giles represented me for my iva and I found her and all her team to be fantastic and never judgemental.
Good luck and go a bit easier on yourself
Emma x