My husband's had an IVA since 2005 which includes my wage in the household income.
Despite this, Lloyds bank has hounded me since then for payments into a joint overdraft and joint loan. I have been under a payment plan, kept in contact and kept up repayments but had regular threats of court action.
Neither of these debts have been claimed as divends by Lloyds under the IVA. After the latest default notice (Lloyds had returned my Overdraft payments but continued to collect the loan repayments) I wrote to Head Office & Customer Services to complain that no-one could explain what was going on.
Since then I had hoped that Collections Centre in Brighton had sorted things out.
However, today I recieved a reply from Customer Services stating that no more payments for either the Overdraft OR Loan would be accepted from me until the IVA was complete???
All advice I have recieved to date (including the Insolvency Practitioner) says that as a joint debt, I am responsible despite my husband's IVA. This explains why Lloyds has hounded me for the past three years.
Who is right? Where do I go from here apart from the Financial Ombudsman or press?
Please can you help?
I'm afraid that your IP is correct. As only your husband entered the IVA, you then become liable for the whole amount of the joint debts.
The debts will have gone into the IVA, but only your husbands portion of it.
As you have been maintaining payments into this, I don't know why they should have been hounding you. Is this something you did yourself, or is it a debt management plan?
I don't know why they won't accept any more payments though.
Hopefully one of the professional experts who post on here will come on and shed some light on the matter.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Hi
Lloyds will have received dividend payments from your husbands IP and with your payments it could well be that the debt is now paid in full.
They should not be returning payments until the debt is paid. I suggest a call to the ombudsman will kick them into looking at your case and giving you a difinitive answer.
Regards
You need first to write to their complaints department and see if they resolve it or not satisfactory. If not then complain to the Ombudsman.
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.
Thank you everyone.
It was a reply from a Senior Officer at Lloyds TSB Credit Operations, Customer Service Recovery - Brighton.
I wrote to the address given to me when I said that I wanted to make a complaint. Is there a separate Complaints department?
The letter also says that it's up to my husband's IP to query why dividends have not been claimed, despite the fact that the IP has repeatedly contacted them to no avail. Srangely, Lloyds have collected the divends on his 3 sole Lloyds debts!
I assume the hounding is because I'm on a payment plan as I cannot afford to make the full payments. I set out the fact, however, that my payments combined with the IVA dividends would clear the debt by the end of the IVA.
The letter says that they don't feel able to agree with my complaint. Do I need to contact them again to tell them how wrong I feel this reply is before proceeding to the Ombudsman?
Hi
You have already complained so I suggest that you go straight to the Ombudsman, it will cost you nothing and they have a very slick procedure
Regards
