Need advice - Credit whilst in IVA

[shipp]

Hi,

I've had a IVA since last September, however when I signed up for this I retained a store account(approx £400 outstanding) with a retailer(good for the kids clothes). When I signed up initially for the IVA, I asked my adviser if it was ok to keep this and was told not to mention it the the IP and it should be ok.

Everything was ok till recently, a payment got missed on the store account(my fault, completely forgot about it) and was told by the store that my account would be passed to a debt recovery agency in April if it wasn't paid. Anyway, I've paid it but have tonight been told that the retailer have checked my credit and I am unable to make further purchases from them. This doesn't bother me that much as it's mine own fault but could this jeopardise my IVA in anyway?

Also a month back, I had to get a payday loan(£100) as my car broke down and without a C/C or any savings to speak of, i was stuck. That's also been paid off but now I'm just worried what the consequences of these could be.

Has anyone ever been in a similar situation and if anything, what happened?

[MelanieGiles]

Hi shipp and welcome to the forum

Seems like you came across a very unprofessional adviser - would you like to tell us which firm they work for so that other forum members could perhaps avoid them in future?

I am afraid that you are not permitted to use credit whilst an IVA is in force, and I would suggest that you now come clean with your IP about this debt. They will probably wish to question the advice you were given by their "advisor", in an attempt to stop other clients being badly advised in the future.

I have the same comments about the other matter you refer to - and a better way forward would have been to discuss whether you could short-pay your IVA contributions for that month which I am sure that your IP would have approved.

Your IP is there to help you with future difficulties, so I would not advise you to "go it alone" in the future - or you might just jeopardise the future of the IVA.

[shipp]

Hi,

Thanks for the advice, to be honest I'd rather keep the name to myself as I don't want to get involved in mud slinging at this point!

I haven't decided yet whether to come clean or not with my IP although I'm guessing they will find out from other sources anyway.

[marsha1]

Hi Shipp, you would not be mud slinging at all,just helping people who post and read on this forum make better/safer choices.

[shipp]

I understand what you mean. The only problem being it is a rather large company and it being a case of my word against theirs.

If it does blow up then I'll have no hesitation in naming them but for the moment I'd rather keep it to myself.

[emma_t]

Hi shipp

I would advvise you to tell your IP about the store card as you will only worry they are going to find out. I think the relationship between IP and client involves a lot of trust, as you trust them to run your iva efficiently and they trust you to be open and honest about your financial affairs.
I would come clean as it is not a lot of money and as Melanie says they can help if something unforseen (like your car repairs) happens by maybe giving a payment reduction or break.

Good luck and I hope you get it sorted[:)]
Emma

[marsha1]

Good luck I hope it all works out for you - keep us posted.