Should I cancel my direct debits?

[crosby]

I've mentioned on another thread that I am jsut starting the IVA process, have just sent off my paperwork.

My question is basically, should I cancel my direct debits and just start making a nominal payment to the various credit companys? The main reason for asking is that a lot of my loan payments come out of my bank the day after I get paid, so some companys are getting their money but other are having the DDs bounce now due to lack of funds later in the month.

Cheers

[Adam Davies]

Hi
Take advice from your IP.
The general rule is to stop paying all creditors once you decide on an IVA,and I personally would not bother with token payments.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[aguise]

Hi Crosby I would also speak first and foremost to your Ip. We were told by our company to stop all payments to creditors and would have been in the same position but we changed our bank account and sent our wages to that before hand so the loan payments just defaulted. This was as we were insructed to do.
Of all our debits just one sneaked through and that was due to the fact hat some money owed was paid into the account. Speak to your company and they will advise.

Ang

Please visit my blog at http://aguise.blogs.iva.co.uk/

[crosby]

Thanks all.

I'll be calling my Ip tomorrow to discuss.

[hara]

hi,crosby,

I would cancell all non essential DDs,such as unsecured creditors.

With regards to payments, ask your IP and follow
the advice.

There may be a case to pay a token payment of
equal sum to all creditors to stop them from issuing default notices and further action.

hara.