Regarding "Mis-selling"

[lily]

Only wish I would have had such in depth thoughts/insight/hindight when I signed for the loans in the first place, but I didnt.

[OPTIMIST12]

Sue - hello - and you are so right!! Hindsight is a wonderful thing and I do not want to try and come over as some sort of smart alec.

That is why I think there should be a requirement for each and every IP / IVA Provider to send out an officially recognised leaflet setting out exactly what an IVA entails and all the other options. Debtor to read it - consider the options - 7 day cooling-off period - and debtor to sign it if they are finally happy.

I do not post on this forum to be controversial - I post as someone who I hope is one of many thousands of happy IVAers who are paddling across the IVA ocean and hoping to reach the other side safely. I just worry that sometimes new people may get the impression that everyone in an IVA may be dissatisfied.

[sjw]

i see your point about not wanting it to seem as though majority are unsatisfied as that in its self may make people feel more desperate if they think that option is not going to work for them, i also think that a cooling off period is a great idea anything that makes people look deeper into things is a good thing, it may prevent rash choices and allow them to make more informed decisions x

[MelanieGiles]

Whatever happened to good honest and unbiased advice from IP to client given during a proper client meeting. In my practice we issue the R3 booklet (which is a best practice requirement in any case, hold several meetings with our clients during the IVA process, and I always round up with a personal meeting as the IP with every one of my clients - as it is the right thing to do and also it is my personal risk if a client does not understand the process or implications of the debt solution they have chosen. This is then followed up by a very detailed set of meeting notes which clients are required to sign - remphasising the advice given on all options.

People might accuse me of having an old-fashioned practice and way of doing things - but in my mind there is no other - and clients should not be expected to gather this information from websites or glossy brochures.

[pm5]

Well i think an IVA is the best all round solution compared to BR & DMP, as you know BR comes with alot of stigma but is over with quicker than the other 2 options, & DMP you could be paying for years upon years with all the stress with it, an IVA you know when it finishes with less stress & stigma.

[lily]

Melanie

In my work too it is my responsibility to make sure patients understand the treatment, surgery before signing for it. It just has to be explained in a manner that they can also understand as I cannot expect them to have prior knowledge or be expected to do their own research. We also are requrted to give out certain leaflets of surgical proceedures by law. I have found that peoples level of understanding differ as well as the amount of time they need to be reasured and for me to be reassured that they are happy and do understand it all.

I dont think youre old fashioned at all, if all IP's were like you and IVA providers were like yours, we wouldnt need this forum because everyone would be happy, fully informed and sorted.

[MelanieGiles]

Agreed Lily - and you make good points here that not everyone's level of understanding will be the same, and as an IP it is important for me to confirm that level of understanding at the end of the process - and test and adjust if necessary.

Better to drag a client down from Carlisle to Cardiff for one day - I often cover the cost of the train fares! - if it means that they will go home fully understanding the process and what my expectations of them are, and theirs of me.

[pm5]

I had a letter the other day from a firm called INTEGRITY FINANCIAL SERVICES, obviously they got my name etc off the insolvency register, basically THEY were suggesting that i had been mis sold an IVA & i should have been told about ALL 7 UK Debt solutions & how they wanted to help without the high fees involved etc.

[emma_t]

If only everyone was as commited, caring and professional as you Melanie, can't see th subject of any mis selling posts ever again.

I am sure the vast majority of IP's are very competant but its the usual scenario of a few bad apples and them not taking time to explain the options
x

[MelanieGiles]

I'm not sure that there are too many bad apples left in the IP profession now, Emma, but so far as I am concerned there is much to be concerned about in the ever growing bankruptcy assistance marketplace - which is where these firms operate within.

[OPTIMIST12]

My major concern is that IP / IVA Providers sometimes get accused of mis-selling when this is not really their fault at all.

I appreciate that some people may enter into IVAs DESPITE having the full information before them which indicates that another course may be a better option. But where do you draw the line? If people are savvy enough to acquire numerous lines of credit - should they not also be savvy enough to take in the potential solutions to their financial problems? Like jpj said in an earlier post - there are only three real options.

We really need a uniform thing where debtors are REQUIRED to agree that they have considered this, this and this (IVA. DMP. BR) before signing up to anything. At the end of the day it is OUR decision as adults as to what path we go down to resolve our problems. Only so much can be done to explain the options to anyone - at the end of the day it is THEIR decision!!!

[pm5]

I think that this letter i got got the other day Mel appears to want to assist me to bankruptcy, but surely they would'nt get that much out of it would they ?

[Adam Davies]

Hi
Optomist's quote 'I am just an average person but I trawled the website, visited my local library, and had in-depth talks with CCCS before deciding my path',unfortunately the 'average'person does not do this.I would bet that the vast majority instruct the first company that they come across.Hopefully as this site continues to grow people will be better informed and will make choosing an IP/IVA provider top priority.
If you buy a house you instruct a solicitor you put all your trust in them to act correctly and in your interst,entering into a legally binding insolvency agreement should be similar,however as the IP acts for both debtor and creditor it must be difficult for the IP to keep the balance 50/50,this may well be where many of the problems lie
Regards

[MelanieGiles]

Optimist

Every IVA needs to have an IP - and every IP is subject to a code of professional practice which governs the way they are supposed to do things. We already therefore have your "uniform thing" - get hold of a copy of SIP3 from the R3 website and it is all there in black and white as to what should happen prior to an IVA being proposed. What you cannot do is make people stick to the rules, and I suppose it is the same in all professions.

To pm5 - they will probably want to charge you the sum of £1,050 to help you fill in a few simple forms - which you can do yourself for no cost at all.

[pm5]

I know i made the right choice with my IVA Mel but as you might know there are vulnerable people out there who these sort of companies prey on.