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[rae25]

Hi all brief outline I have £25000 debt ( mainly paying off exes debts) . This was manageable but stupid until the ex left and I have it all in my name with 3 children and a part time salary. I rent my home.
I've been on the phone to national debt help who put me on to creditfix. Are these guys good? The iva sounds scary in a good way and from what I've been reading the next few years will be tough but I can sort it and then start again. Is there anything I should do or say or make sure of. I'm hoping eventually I could ask my dad to maybe pay off the iva. Is this an option? Also how long did it take you all? I've been booked in for a conversation with a practitioner on Thursday.
Any advice or support would be great as I'm nervous and really worried I'm making the right decision .
Rae

[Foggy]

Creditfix have a mixed reputation --- they do seem to handle VA's fairly, though their communucation is abysmal -- which really hurts when you have a crisis on your hands ! Even if you do go with them, I would suggest a chat with a few firms to compare and get a feel for them -- you will be stuck with them for 5 years ! The process to start usually takes 2 to 3 months, depending on how quickly you can get everything together and to them.

[rae25]

thank you for your reply. I don't know who else to call. I thought I'd feel like an idiot with them but in fact I actually feel positive for the first time in months. It does worry me though. One question when it finishes or if I ever can settle early if I ever inherit afterwards do I need to pay them back or settle the original debts? I understand when I'm in the agreement I have to notify them just not sure when it's settled?
Thank you all. I'll probably be here for the next 5 years if I get accepted
Rae

[Foggy]

Try Vincent Bond ( who sponsor this forum) and / or Cambridge McDuffy. Lisa Thomas from Neville and Co. is also a regular and very helpful contributor to the forum.

Whilst in the IVA you will always owe the full original debt, fees and possible statutory interest. If you inherit a sum of money this will all be payable, up to that figure, and the IVA will continue until such time as the term or that figure is met.

You can offer a "Full and Final" settlement at any time, which is based on the amount of payments left multiplied by the current monthly payment --- so basically the reditors get what they signed up for early. This usually has to be funded by third party funds --- an inheritance cannot be used for this purpose, being due to the IVA anyway.

[rae25]

So if final settlement is made after 3 years and then you inherit before the original term of 6 years it's considered finalised and no more money is repaid?
Thanks I will look into the other companies

[Foggy]

So if final settlement is made after 3 years and then you inherit before the original term of 6 years it's considered finalised and no more money is repaid?
Thanks I will look into the other companies

If a F&F offer is accepted and the completion certificate issued the IVA ends. Any income / inheritance / windfall AFTER the issue of the certificate is all yours, except PPI refunds and similar.

[rae25]

Hi I have a call booked in with Roisin tomorrow from Cambridge MCDuffy tomorrow. fingers crossed . Thankyou for your advice

[Lisa Thomas]

Hopefully Roison will have been able to help you but I am wondering if BKY might be more suitable for you, on the assumption you have no assets.

[rae25]

Sorry Lisa what is BKY? Roisin did help but I'm very confused as her suggested payment was 130 more a month the other firm who while I've read a few bad things about ( although general reviews about are great and I work in customer service and there are bad reviews about my company online which are just definitely inaccurate) I did feel very comfortable with and were helpful and let me ring back later with other questions and I got through easily. I have never been more determined to sort this out so if you have another suggestion I'll happily take any advice.
My debt was manageable while with my ex but as he could never get credit all was in my name and he truly left without a care for me, his children or the debts so now I've learned the hard way never take credit out for anyone and for the sake of my children I need to sort this they're sick of mummy being sad and short tempered and literally having no money.

[Foggy]

Sorry Lisa what is BKY? Roisin did help but I'm very confused as her suggested payment was 130 more a month the other firm who while I've read a few bad things about ( although general reviews about are great and I work in customer service and there are bad reviews about my company online which are just definitely inaccurate) I did feel very comfortable with and were helpful and let me ring back later with other questions and I got through easily. I have never been more determined to sort this out so if you have another suggestion I'll happily take any advice.
My debt was manageable while with my ex but as he could never get credit all was in my name and he truly left without a care for me, his children or the debts so now I've learned the hard way never take credit out for anyone and for the sake of my children I need to sort this they're sick of mummy being sad and short tempered and literally having no money.

BKY is bankruptcy, Rae.

On the choice of firm, your gut instinct is important. It would be interesting to compare where they differ on expenses. It is possible that the creditors could object to CF's allowances if they are over generous and increase them at the meeting. It is also possible that you could tweak them with Roisin -- this is an initial negotiation, nothing is set in stone.

The problem with reviews is that, on forums and social media, people generally only speak up to complain -- not often to praise. CF get their fair share of complaints (all about customer service) but they do seem to run an IVA reasonably well. McCD have, in my memory, very few complaints on here and also run an IVA fairly. My only qualm about CF would be how they might react (or not) in a crisis.

[rae25]

I really don't want to go bankrupt, genuinely too scared of the family finding out and at least the iva route I can feel that at least I'm doing all I can to repay what I owe. I will follow it up with both Companies as it was all in the expenses but cf seemed very
Confident when I raised the issue that I would still be paying much higher than the minimum .10p

[Foggy]

I really don't want to go bankrupt, genuinely too scared of the family finding out and at least the iva route I can feel that at least I'm doing all I can to repay what I owe. I will follow it up with both Companies as it was all in the expenses but cf seemed very
Confident when I raised the issue that I would still be paying much higher than the minimum .10p

Did CF state that there was a minimum dividend of 10p in the pound ? I have seen lower dividends accepted. It is not decided on the level of dividend alone. However, there is a lower. monetary, limit below which the IVA is unworkable as the fees would mean no return at all for the creditors. This is around £70 per month.

[rae25]

They said that 10 was the lowest allowed to be offered with any chance of being accepted , I think mine came in at 23 meaning a £166 monthly repayment, so with my maths I worked out just over half a month would go in repayments the rest in fees. They did push up my expenses with both firms as I've been robbing Peter to pay Paul , never going out with the children, lending off family and skimping off food, me not eating etc.

[Lisa Thomas]

In Bankruptcy (if suitable for you) your payments, if affordable, would only last 3 years. Some IP firms use the standard protocol terms for IVAs meaning you will pay for 5 years.

Why do you feel your family are more likely to find out about Bankruptcy than an IVA?

[rae25]

I was under the impression bankruptcy got reported in the newspaper? I hope that iva is the most sensible route and I've told my sister who is very good with money and was actually very understanding that this had a lot to do with my ex and has suggested if I got accepted and kept it up for a year she'd pay f+f and I could repay her. The only bit that really worries me is that currently I own my own car but if it goes wrong in next 5 years it's getting another one but I'll just cross that bridge later also my income fluctuates monthly between housing benefit and overtime. If I do overtime they deduct my benefit by about the same amount. Would I need to declare this every month or would they be able to see that in yearly review?