i cannot afford the iva any more

[goldang]

I started an iva 6months ago ,i cannot afford the iva any more due to being out of work due to illness and realising that my budget for a family of five was unrealistic,can you tell me what will happen as i am very worried.

[Adam Davies]

Hi
If your IVA fails you will be back to square one.It is unlikely that your creditors will make you bankrupt,it is more likely that you will agree a payment plan with them once you start work.
You also have the option to declare yourself bankrupt and draw a line once and for all under your debts
Regards

[Oliver]

As Andy says, you will likely be back to square one and it is unlikely that you will be made bankrupt by your creditors at this point. Speak with your IP and let them know that you are struggling to make the payments. They could possibly look at the option of putting a break period in place but as an alternative you could enter into an informal plan whilst you review your future options.

[Emily]

Creditors these days have no leverage on debtors like they used to. The revised Banking code explicitly states that debtors need to be given the the upmost help and if you are struggling with mortgage payments you will get even more help...and hopefully they're back off with those COs id you are a home owner.
If you IVA is no longer viable You should go BR as anything that doesn't give you a Start to Finsh in resolving debt is just like going on painkillers.Creditors are at a lost with consumer indebtedness as they are still writing off their wholesale drubbing of bad investments.

As I said this is the best time to throw in the towel in the form of IVA or BR.This is a Credit and Consumer crunch rolled into one deadly cocktail not seen since???

Inflation at CPI level is 3% today.....this is one serious economic ailment.
IVA will become less affordable as peoples I/E buys them less.