right for me?

[iamunsure]

Hi, Just wondering if anyone can give me a bit of advice please.

I am £20,000 in debt, between loans and creditcards, and im not sure whether an IVA is the right thing for me.

I currently have my own business which is struggling from time to time and some months i end up putting the bills on my creditcard. I have a lease for the next 18 months so i cant just close it because i will be liable for the rent. I also have a joint mortgage which i dont want affected by this.

I can just about afford my monthly home bills, am left with nothing though at the end of the month because of loan repayment and card payments ( 2 of which are with northern rock!!).

Im not missing payments on anything, but i am putting stuff on my card because i have no money to pay the bills.

Would an iva be right for me, or would i be better off just going bankrupt and closing the business?

It just seems like its gradually creeping up and up, and i dont want to look in a years time and that figure to have risen to 30k

[chris.g]

Hiya and welcome to the forum.
You know already that you cannot go on like this. Many of us have done the same and as you say, it creeps up and up.
To be accepted for an IVA you must have a stable disposable income. You may struggle if your business fluctuates.
One of the experts will be able to advise you on how you stand.
Try not to worry, there will be a solution right for you and you have certainly come to the right place,
Good luck

[cfnc]

Hi, and welcome to the forum, I think you would need to speak to an IP to get the correct advise.

You will need some regular income for an IVA and you will no longer be able to have any credit.

Kirsty

[iamunsure]

Thanks for the welcome.

I do manage to pay myself a weekly wage from the business although it only just covers the loan and card payments, ive never gone without wages.

[chris.g]

You need to work out an income and expenditure. Work it out without the payments for your cards and loans. This will give you some figures to work with and give you a better idea of how much you have left for an IVA

[iamunsure]

ok i'll do that.

thankyou

[chris.g]

You're welcome. Make sure you put all your essential payments on there, rent/mortgage, utilities, food, clothing, health care, travel etc. They all mount up.
Also, any secured loans that you may have can't be included in the IVA.

[iamunsure]

I have a joint mortgage with my partner which i do pay some towards, he pays most of it. The only thing is, is that it doesnt come out of my bank, i just give him the money. Will they want to see it coming out of my bank?

[chris.g]

Not sure about that, obviously the joint mortgage will be taken into account when working out the expenditure.
I'm sure an expert will be along soon,

[plasticdaft]

20k of debt doesnt sound like too big a problem and perhaps even a debt management plan would do you,certainly even if you could get interest frozen on your credit cards etc for 12 months that may give you long enough to sort things out.

[Oliver]

You need to speak directly and without obligation to any of the experts that advice on here as your situation requires a solution, it's difficult to say if an IVA is the better solution until you have answered a number of questions, If you are not a Ltd company you can still trade as a bankrupt but this may not be the right path due to your property asset. There is no cost for plain and simple advice so make that call today.

[iamunsure]

when i got the loans they were at such a low interest rate anyway, like 5.8% and the cards are already on a low rate for the life of the balance thing now.
Im not sure just freezing the interest is enough, its my monthly home bills that arent getting paid (well they are but just onto a creditcard) because of the other repayments


the business is a partnership

[facingittogether]

HI

I THINK IT WOULD NOT DO ANY HARM TO SPEAK TO A EXPERT AND SEE WHAT THEY ADVISE!

IF YOU HAVE TO PAY YOUR HOUSEHOLD BILLS BY CREDIT CARD, THEN SOMETHING IS NOT RIGHT!

DONT PANIC THOUGH AS THERE WILL BE A WAY FOR THIS TO BE SORTED!

BARB X