Its nice to see everyone having a good experience of an IVA and feeling the stress and strain lifted from them. Its a great feeling. I entered into my IVA 3 years ago and reduced my debts from £900 a month to just £400 and that gave me such great breathing space.
However, what people dont seem to realise is that the IVA company can put as much strain on you as your creditors once all is setup. The IVA company work for YOU whilst the agreement is being formulated getting the debt lowered as much as possible but once all is signed and sealed they start to work for YOUR CREDITORS and this is where it all goes wrong.
having my debt reduced was great and left me feeling almost elated until the first problems occured. Due to family illnesses I had to move house to be closer to sick and dying parents but this got me into trouble as I did not request permission first and the IVA company treated me like a naughty school boy. Then my car died and I needed to obtain a new one as I have a 3 hour commute to work and agian was chastised by the IVA company and it led to some harsh letters and my having to defend myself (no car, no money for creditors). I was then lucky enough to receive a bonus from my company of £900 but again the IVA company swooped in and demanded I pay them £450 (subsequently added to my monthly figure).
The whole experience has left me feeling the least in control of my money than I ever have and like a naughty school boy. The stress the IVA company has put me under has led to me having to be medicated and as we speak of work on sick leave. I am now trying desperately to raise equity on my home just to get these people off my back.
Hopefully none of you will have this experience and I wish you good luck in resolving your financial problems. And remember, its not always those on low incomes that get into this state. I am earning £32000 a year and my wife a further £5000 and we are still struggling. Good luck and god bless.
Hi
Your case shows how important it is to use a company that you are happy with.It pays to do a little research and take your time when choosing both the route to take and the company to use.
Recent research shows that 90% of people in debt use the first company that they contact to provide a solution.
Regards
It is a shame that you have this view of the way members of my profession conduct their daily business. For a start our motivation to act for clients is not to get their debt lowered as much as possible, but to ensure that you maintain an affordable repayment programme to creditors over a realistic timescale. And secondly we are not here to take money from you that you cannot afford - but you would have agreed to hand over 50% of your bonus at the time the IVA was accepted.
Many people have good experiences with their IVAs and the IPs who act for them - I hope that you are in the vast minority, and I would not want other forum posters to get an unfair view of a very reliable and successful debt rehabilitation measure.
I have to say that I totally agree with all your comments, we had our IVA rejected and are now in DMP world. This is not ideal and the urge from some organisations to jump to BR and give all I do up seems to me to be a little inconsiderate for the time,effort, and commitment I have given for many years. This is vouluntary work and does involve many organisations and time.
I do feel that there needs to be more push to support we the struggling against the creditors. Less urge to give back. Remember it is the creditor who is the multi million pound organisation and we who are the small individuals in this scenario.
I know this may be unpopular but I do not share the view that we must do our best to line their pockets, we did and have had very little and in some circumstances no help at all from the big banks and institutions.They now defeat us with interest charges and late fees that wipe out any payment they receive. I also have to say I share no sympathy for the "struggling banks" as they find themselves in a stew of their own making.
Just wanted to say I hope things are on the up although Im in an IVA and no probs I still worry all the time and probably will until the day it ends when i think I'll have to go to bed for a week with A MIGRAINE TO GET OVER THE SHOCK
Hi There,
I probably sit some where in the middle of this debate. My IVA company started very harshley - I lost a stone and a half as I couldn't afford to eat, had to borrow to buy petrol for work and ended up depressed and suicidal.
I thought things had settled down, but I've just been sent a letter asking for six months worth of wage slips for a review - I thought the reviews were every year. I'm now not sleeping again as I worked my holiday for extra pay in order to afford to repay the car deposit which I borrowed from a friend and to pay for my move back to Bristol. If they ask for half of the extra earnings I worked for I will have to stop eating again. I don't want to be down on IVA companies, but as Andy said I went with one of the first ones I came across as I was beside myself with worry.
This site is so informative and helpful - could you advertise nationally as people will really benefit from the advice, support and friendship they will get proir to making such a life changing decision as entering an IVA?
I asked for some changes to my schedule (moving home and selling the house in year 4 as apposed to year 1 due to falling house value, I am in negative equity) and I waited on the nominated day, but they didn't bother to hold the arranged conference call - there is only so much control we can have and where do we stand when the IVA Company lets us down?
Hope someone can answer and help resolve all these issues,
Chardonnay x
I agree, they often set very realistic amounts to be payed a month. Life happens and very rarely can be lived so rigidly. I feel like I have 5 years of hell ahead of me. And I also feel I have no control over my money. I work so hard for my money and my pay rise but its gobbled up. I am 27 but I dont socialise and Im not allowed allowance for the train to visit my boyfriend in Liverpool. I will probably have to stop driving lessons, Im so close to passing. The company are totally unwilling to help me out and only want the best for the creditiors and do not care what sort of life I have.
Oh Rockstarloz,
Bilmey you also seem to be having a hard time - beleive me I empathise. Do any of the other members live near you? I live in Bristol and if you are anywhere near me I am up and ready to help with your driving lessons - is any one else up for the challenge??!!
It is hard because as you say life changes - I worked extra to pay the deposit on my lease car and pay for my move back to Bristol - I don't have half to repapy my IVA company. I'm due to have major surgery in January - i won't get a discount for that and will have to maintain my payments on a basic wage - I truely beleive my recovery will be hampered as I will have to cut back on essentials like food and so may take longer than planned to get better - at times it seems like a no win situation. It is a long road we are on and at the end we have the elation of being debt free = always keep that in mind.
Still chin up, at least we all have each other for support and friendship,
C x
oh chardonnay thats very kind! Im in manchester though. It just costs so much now. Lessons are £20 and the test is £67 plus £20 for the hour before and £10 for the use of the car. It really sucks. I think unless something gives in the whole process and there is a bit more flexibility surely more IVA's will fail.
IVAs are still meant to leave you with sufficient disposable income to live a comfortable life - and denying you a little slack along the way is not really conducive to either a good working relationship or the successful outcome of an IVA.
I get saddened when I hear stories of people being pushed so hard, especially when in bankruptcy your allowances would be far higher. This continued penalising of people who wish to work hard to get their creditors repaid has got to stop.
Like a lot of people I want to pay back my debts but I also have to live. Some understanding would be good and for some IP's to realise that things change in people's lives.
Jan
Nothing you can buy feels as good as not being in debt.
Hi
I am lucky enough to now be able to advise people on possible debt solutions and one thing that I can give back is to make sure that people are given,initially, realistic expenditure allowances and consequently affordable payments.
As we have said many times before people are so desperate initially that they would do,and agree to,almost anything if it meant that the burden of debt was taken away.
That makes people very,very vulnerable.
Regards
I agree Andy - being one of those vulnersable people who accepted what the first person who listened to us said.
I think you manage through the first year no matter how high your repayments are, because you're grateful.Then you find you're too stretched when something unexpected comes up.
However, lets not forget there are good IP's out there too...just hope ours turns out to be one [:)]
I went with the first company I spoke to, and as most of you know it was a disaster. When I questioned things on the proposal I was told not to worry, and because I was desperate I went along with it.
