Help and advise Needed

[caraf]

Hi. I am sat here on a Saturday night in floods of tears worried to death, and feeling so sick !! We have £85 K of unsecured debt. We have contacted Clearstart and are awaiting for our iva proposal to come early next week. The proposal is for £500 per month. How do I work out how much to the pound return this is giving my creditors ??
Does anyone out there know the trends of how creditors vote and whether or not I have a good iva proposal. All we keep thinking about is what if it fails what if it fails ??? Are we doing the right thing ??
I have so many questions and dont know where to start ??

[chris.g]

Hiya, sorry I don't have any answers for you, I just wanted to say that you have come to the right place. Someone on the forum will be able to give you good advice. Try not to worry too much, even the darkest clouds have a silver lining......

Learning as I go along and getting wiser all the time!!!

[scaredkez]

hello welcome to the forum, it is a very hard time waiting to find out if you are going to be accepted for an iva, i really feel for you, know one can give you answers at the moment, you remind me of me waiting £100k in debt waiting for the answer dreading the moment they said no!!!

i really hope you get the answer you want
have you gone in with a realistic i+e and can manage for the next 5-6 yrs all the best really hope it works out ask your questions we all need answers, don't be worrying its only money you don't owe your life believe me!!
kerri





Please view my blog at: http://scaredkez.blogs.iva.co.uk/

[Skipper]

Clearstart is a pop' IVA firm and as least 5 people who have posted forum have used them

In yourcase - £500 multply by 60 equals the total offer of payment.Take off £7,000 plus vat from that total(IVA fees as an estimate) and whats left is what your creditors will get. Approx 33p to the pound is what your IP wil propose. It is about what you can offer so for others it could be more or less

If creditors are not happy they can ask for an improved offer. Adebt management plan is an option if cerditors reject the offer. But with debt of 85k, an IVA is the best solution and your creditors-owning 75% or more of the debt amount- will have to vote for it

Regards

<<My motto:I am proud of black culture and is against racist bigotry>

[caraf]

Thank you so much for them quick answers. So would you say 33p in the £ return is a good iva?
Does anyone have any inside knowledge about the trend of how creditors vote. My creditors are :
M&S
Grattan Cat
Egg
Next
Halifax
Bank of Scotland
Barclaycard
Virgin
Nationwide
and a few other little ones

[Skipper]

Creditors are generally supportive of IVAs. You don't have any awkward Creditors.M and S money is actually under written by HSBC

Which are your biggest creditors??

<<My motto:I am proud of black culture and is against racist bigotry>

[cat 1]

Morning.I'm definately no expert.My IVA was only just aproved- 1st payment dec 1st, but, just wanted to say it appears those waiting days are the worst, not really understanding the process and all the 'what if's'. Clear Start have been very good for us.The first lot of proposals were rejected (HSBC)- mine was accapted but hubbies wasn't.That was terrible. I hardly lifted my head for the week ahead and had some 'very' negative thoughts. However, they negotiated and negotiated and came good, AND rather than up my monthly payments , they negotiated 6 years instead of 5. So, what I'm think I'm saying is try not to worry.You have made the first step which is liberating but very scary.Things can and will improve...mine have over a very short space of time and if you read others stories thiers have too. Cat

[jpj]

Dont worry too much caraf...Even if they say no first time your IP will fight for you and tweak your IVA to help get it approved.
It looks like you have a good spead of creditors which isnt neccessarily a bad thing.
My feeling is the higher your debt the less chance your creditors know you have of paying a high amount back, but obviously it all goes on your ability to pay through your IVA.
Just make sure you are comfortable with the monthly payment.

[caraf]

Hi Thank you for your comments, my creditors are as follows in order, the biggest at the top :
Halifax
M&S
Bank of Scotland
Nationwide
Egg
Virgin
Barclaycard
Creation Finance
Paragon Finance
Next
Principles
Fashionworld
Grattan
Kays
Littlewoods

[caraf]

AS I have opened my new bank account and all our wages are going in there, and I have moved all the Direct Debit I need to. We are now living off CASH which is a nice feeling. My new account with Lloyds TSB will they be ok with me ??

[caraf]

I have now stopped paying all my creditors have cancelled all the Direct Debits etc.. but the phone calls and letters have started already, I cannot cope with this very well, I dont know what to say or do?? Would it help if I wrote to all my creditors telling them of my situation and telling them I am seeking Independant Financial Advise and I will be in touch within the next 2 weeks??? would this helps ??? Do I have the answer the phone ?

[caraf]

Hi. Sorry some more questions ?? but I am finding this very helpful ??
1. Obviously Christmas is coming up and I have daughters how would you suggest I pay for this ?
2. When my mobile phone contracts come up for renewal will the company renew ok or will I have problems ?
3. I have my car insurance which I pay monthly at the moment, will they continue to do this for me if I am in an iva ??

[caraf]

What happens after the iva has been approved, when they do their annual review what do they look at and check ?? will they want copies of bank statements and start asking lots of questions about what we spent our money on ??

[caraf]

Am I doing the right thing, I am so stressed and cannot sleep at night ??

[63k]

I did the most minimum payments as I had never missed a payment, they still rang!! So I reckon stopping payments altogether is a good move, dont spend any of what you save, keep it for if you have a broken car/wash machine as 5 years is a long time. I also sent off letters to all my creditors, explaining the situation, recorded delivery (i add that) and I recieved 2 phone calls in 8 weeks!
Dont renew your phone contract get a pay as you go phone, its not the phone but the cost that matters now, my car insurers are still happy with me,I dont think they need to know and they dont know I am in an IVA!
I opened an account with smile, it is great they are happy with people on an IVa and you can do most of your banking online and at the post office! I got a normal bank acc and reduced the overdraft to £10.

We had £75,000 worth of debt, offered 25p in the pound and were accepted within 1/2 an hour of the meeting! Dont worry if you have any worries this forum will set you straight...Always reach for your mouse and this webpage first! I rang my IVA company and got a better answer from here as they are call centre staff there!

Hope this helps!