There is no harm in trying for an IVA, and if you select an insolvency practitioner to represent you who does not insist in up front payments (most of us don't!) then you have nothing really to lose if it fails.
How much do you think you could afford to offer to creditors on a monthly basis?
My net income is around £2,300 per month, but my outgoings are about £2,800! When the bank refused to consolidate, I loosely mentioned an IVA, and straightaway, he said quote "you wouldn't get one". That's why I haven't looked into it any further. I don't know too much about DMP's, do you think I could get one of those??
Thanks for all your advice so far, I really appreciate it.
Last edited by juliada on Sat Oct 11, 2008 1:46 pm, edited 1 time in total.
Yes - you need to provide full details of your Income and Expenditure and if you could offer 40p in the £ to your creditors through an IVA - HSBC will accept. We recently got one through with them where the dividend was 34p in the £. Speak to a suitable IP - visit www.iva.com for a list. Good luck
Regards, David Mond, Insolvency Practitioner for over 46 years. Personal Insolvency Practitioner of the year 2012, Personal Insolvency Practitioner of the year finalist 2013 & 2014 awarded by Insolvency & Rescue Magazine and 2015 finalist for Personal Insolvency Firm of the Year.
Outgoings:
Capital One £75 p/month (just gone up from £49!)
Halifax £102 p/month
HSBC £559 p/month
Mortgage £846 p/month (interest only-ouch!)
Council Tax £116 p/month
Food £300 p/month
Petrol £100 p/month
Electric £70 p/month
Gas £55 p/month
Water £35 p/month
TV £12 p/month
Insurances £54 p/month
Nursery fees £128 p/month
Other stuff I may have forgotten to cover £50 p/month
Total: 2,476
Income:
£2,287 p/month
(Half of that is tax credits)
So if one day they decided to reduce the amount I get, then that would be an 'oh f***' kind of situation for me!
Last edited by juliada on Tue Oct 14, 2008 9:02 am, edited 1 time in total.
You need to seek advice from a good IP. Visit www.iva.com where you can read reviews about several who hopefully will give you the appropriate advice. Good luck and don't worry, recognising the problem means your on your way to solving it. Good luck.
Regards, David Mond, Insolvency Practitioner for over 46 years. Personal Insolvency Practitioner of the year 2012, Personal Insolvency Practitioner of the year finalist 2013 & 2014 awarded by Insolvency & Rescue Magazine and 2015 finalist for Personal Insolvency Firm of the Year.
How will you fund that on a negative income of £189 per month? Without the assistance of additional sources of credit, you may make the situation worse - and I see you have no allowed for telephone, car tax and maintenance, house maintenance, clothing or any social expenditure to name but a few.
I would seek some professional advice at an early stage just to explore what your options are.
I know, I try not to think about it too much if i can help it.. an IVA would definitely take the pressure off me, but i am still perplexed at the bank's refusal to IVA me before i've even made an application through an IP?? Maybe because I receive half my income through tax credits? No idea?!
I am not sure what you mean by the bank's refusal? If you propose an IVA, HSBC will refer this to their specialist team which vote on IVAs, and so long as you are offering a minimum of 40p in the £ they are likely to accept.
I bet because you told them you were thinking about it they just tried to scare you off the idea by saying you wouldnt get one. but its probable the person you spoke knows nothing about IVA's
Yeah, I would like to think it was that, I mean he was very sure though, as if he knew something I didn't.
However, 79% of my debt is with HSBC so it would be up to them and going by that if they were to refuse, I don't know what I would do, probably get very drunk!! It would almost be too much for me to bear at the moment. I will think more about it later on and chat more to hubby, (cos money worries, he does not like to talk about.. ever) and will take it from there.
Thanks again for all your advice, I really appreciate it.
Last edited by juliada on Tue Oct 14, 2008 10:11 am, edited 1 time in total.
