Reversing an IVA

[Viki.W]

I think you should give Melanie a call. She's on holiday this week, but she's back next week. I'm sure she would be happy to go over ALL of your options and the pros and cons of each one. I think that's what you need.

You could call her office now with all the details.

Viki X

[icebrick]

3 years is not so bad.
I have initiated IVA proceedings but my IP hasn't spoken to my creditors yet as there is some documentation pending from my end. I am taking the process slow because I am seriously considering Bankruptcy at the same time.
I want to buy some time on the IVA process to be certain of exactly what I wish to do before moving ahead or opting for a BR. Do you think my creditors can make me bankrupt in the meantime? How different is it when my creditors to make me bankrupt anyway?

[Viki.W]

If your creditors make you bankrupt, you save on the fees![:D] I doubt they will at your stage though, they will try and pursue you for the debt first.

If you make yourself bankrupt the judge will want to know that you have tried every other means of sorting your debt out. Bankruptcy is seen by the judge as the last resort.

Viki X

[icebrick]

My IP has made the IVA proposal to show that the an IVA is possible. Can the judge ask me to go for an IVA instead if this is the case?

[Viki.W]

If your IP has advised an IVA and you decide to go bankrupt, on the statement of affairs that you have to fill out, you need to say what efforts you have made to sort your debts out prior to bankruptcy.

The judge can refuse the bankruptcy if there are other options but you haven't pursued them.

Try posting on the sister site, Ross, just click on "bankruptcy help" at the top left. Julian on there is always around and very helpful. He knows all the ins and outs.

Viki X

[icebrick]

Think I met Viki in the Sister site just mentioned above. My username there is s_d. I'll be phoning Julian tomorrow or day after.

Quick question while I am waiting.
Can a judge impose an IVA on a person applying for insolvency?

[TheMatrix]

Don't believe so, it's your choice as to whether you go for a IVA or BR. If you went BR they could issue a payment order for 3 years though.

[Viki.W]

Hey Ross, s_d, yes I thought that was you. The other Vikki is great and Julian seems to know what he's talking about so hopefully you can get some answers. Let us know how you get on. Viki X

[ianmillington]

No, but if when considering the petition the judge can, under certain circumstances, refer you to an IP to prepare a report on whether you should do an IVA, although it happens very rarely.

I have been reading your posts now for some time and note that you still have not made your mind up. You will clearly get some help on forums such as this. You will, however, appreciate that everyone has their own personal experiences and what was right for them may not necessarily be right for you and with many differing opinions you run the risk of becoming more and more confused.

What you need to do, quite frankly, is to identify an IP and set up a meeting at which you can see the whites of his or her eyes. You can then freely discuss, in total privacy and confidence, all the pros and cons of each option, as they apply to you in your specific circumstances. Only then will you know the right way to go.

Steer clear of anyone who wants to charge you for this meeting.

Ian

[icebrick]

Appreciate your input as always Ian. I have met up with Grant Thornton. The person who interviewed me seems that an IVA is viable. An IVA seems manageable but only just. It will not allow me to ever eat out, go out (for even a movie), socialise or date anyone (possibly for the entire 5 years). Is this realistic?

[icebrick]

what documents do I need to provide for a BR submissions anyway?

[tigger]

It will not allow me to ever eat out, go out (for even a movie), socialise ... Is this realistic?

We've endured the above for years - it's called having kids! [:o)]

[ianmillington]

This is one of the problems that arises as a result of having to adhere to unrealistic "guideline" figures for income and expenditure, if someone wants to do an IVA. It's unavoidable I'm afraid, at least at the moment.

If GT think an IVA is viable (I assume that means they think it will be accepted) then I think you can accept that at face value. Whether you are happy to live with the consequences of course is a different matter.

Bankruptcy? The main thing I suspect for you is the reaction of potential employers. I can't see it causing you too much of a problem in IT (unless you want to be a manager) but "business" is a tricky one. That will very much depend on what you want to do. Whilst there is little difference in the effect on credit rating between the 2, I can see some roles where bankruptcy could do more harm than an IVA: finance for example.

One thing is true and that is everything else being equal if you go bankrupt you will pay less each month and for 3 years instead of 5. About half of my IVA clients have been told by us they should go bankrupt on those grounds but for a variety of reasons they elect to do the IVA.

HTH

Ian

[icebrick]

So basically I can't go into a management position anywhere should I go BR? And finance related work is normally working for a bank isn't it?
Also is it true that after 3 years I will be discharged of this work restriction also? Cheers.

[Viki.W]

It varies depending on your circumstances. If you have a bankruptcy restriction order then depending on your conduct, I'm sure you're fine, then it can be anywhere between one and fifteen years. Fifteen years being for fraud etc. Viki X