everybody on this site stick with it!

[karenmorley]

Hello to everybody to contributes to this site, I think it is brilliant and I was wish I was aware of it when I was first considering undertaking my IVA as it provides a brilliant support network.

I am due to complete my IVA on the 1st May, so for everybody who is going through the process please stick with it and don't become too despondent because it is an amazing feeling to be coming to the end.

I would like to ask the experts about my future credit worthiness, I have accessed my credit file from Equifax and there are 2 defaults on there, one for Barclaycard for £14k (I only had £450 debt with barclaycard and the remainder was with Barclays Bank) and one for £120 for GE Capital Bank (I actually had in total £1200 spread over 3 cards)so I am bit confused about this however these defaults are obviously bringing my credit score to that of a very poor score but both were included in my IVA so shouldn't it say 'IVA' rather than default?

Also In order to resolve this do I need to send my completion report to Equifax or to the creditors mentioned and is it true that once your reach six years from the date of default do the debts disappear off your file?

I am hoping to apply for a mortgage once my IVA is completed and any help would be much appreciated.

Karen

[MelanieGiles]

Hi Karen and thank you for the compliments about the forum. Yours is a really success story and will inspire so many of our regular posters that there is a future beyond debt.

The defaults on your credit file will remain for six years from the date they were entered. I would like to recommend Tony Parsons (WelshBoy) who regularly posts on the forum for mortgage advice. He is an expert in this field, is totally independent and will shop around to get you the best deal. Will you have any money to put down as a deposit to assist your purchase?

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

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[karenmorley]

Hi Melanie

Thank you for responding so quickly to my post.

No unfortunately I will not have any deposit to put down at the moment and am considering holding back for a while to save up a deposit as my disposable Income will massively increase once the IVA is completed ( am currently paying £610 per month) I pay rent of £300 per month so I have around £910 per month for mortgage payments once the IVA is completed

It is such a weird feeling knowing that I will have this much available cash considering at one point in my life, just before entering in to the IVA, I knew I couldn't afford something as trivial as gym membership which costs £40 a month, and as I have said before, everybody on this site stick with it because although 5 years seems an age it will pass within the blink of an eye and you will suddenly have this amazing feeling that you will never have to make payment again and you will be completely free.

Good wishes

Karen

[MelanieGiles]

Hi again Karen

You are a shining example of the re-education process an IVA naturally provides. I do not mean to sound patronising, but you must now be far more aware of the value of money, and trust me that first month when the £610 is yours will be tremendous.

Very well done - and enjoy every penny of it I know you will have earned it! As a matter of interest, what dividend are you paying in your IVA?

Good luck with the property acquisition. I am sure it will not take too long to save up that deposit - and 95% loan to value mortgages will be readily available to you when your IVA has concluded.

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

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[karenmorley]

Hi Melanie

That's an interesting question as when I first entered into an IVA I earnt £14,000, as my income has increased over the years (now on £30k and have kept my IP fully informed) my payments have increased from £250 to £610. My total debt at the start of this process was £37k but when my proposals were submitted and the creditors meeting was held the total amount was £25K which I suspect represented my total debt less the interest charges that were written off.
I have never been advised since my initial proposal, of the dividend payable. On my initial proposal it was 30.51 pence in the pound.

Going forward I have learnt a very hard lesson which I intend to never repeat, I scrutinise my internet banking and maintain a monthly income/expenditure spreadsheet and would advise everybody else to do the same. It really does make you manage your finances a hell of a lot better.

Take Care

Karen

[starfury]

Hello once again, its been a while since I wrote but thought some of you may be interested in how things are progressing with our IVA.

With Melanies help we have now got a date for the creditors meeting. Both Jay (wifey) and I would like to thank Melanie for all the hard work so far.

Jay has been a rock for me throughout the initial form filling and with the whole concept of an IVA.
I often felt like just giving up on life itself but then Jay gave me the strength to carry on.

But every now and then I see her tough side slipping so I tell her that everything will be fine, she then gives me a big smile and we get on with our lives once more.

Moral of all this - draw strength from each other and with Melanie guiding you, everything will fall into place.

Anyway, short and sweet this time, hopefully have more news in a few weeks from now.

Take care for now...
Steve and Jay