Stopping payments to creditors..

[angelrainbow]

We were advised by our IP to cease all payments to creditors..I gather this is fairly standard practice/advice.

BUT - I am finding it impossible to follow...I made the minimum payments to credit cards, as has the OH...I couldn't not pay them..felt so wrong, somehow... The main problem for me is the previously secured loan that became unsecure upon the repossession of our home last month (it is on the market but not sold as yet).

This creditor has sent many letters and sent people around on a number of occasions and I'm sure many of you know how this feels..it is awful. Our IP says "what is the worse they can do, your mortgage company now has possession of your house so they can't evict you.". Well yes, our mortgage lender is in possession as we couldn't keep up with the £1,300 a month payments..but my question to the experts is:

What is the worse they can do if we stop paying them? Can they send bailiffs to take goods to sell on, if so, how long does this typically take?

Our IP says it should take 3 weeks from receipt of signed proposals to the creditors meeting, well they got our proposals on Wednesday so we are in the 3 week countdown now. One more payment is due before the meeting and won't be paid on time as the OH gets paid after it is due (he gets paid 4 weekly, not monthly and so direct debits are nothing but trouble to us as the payment date shifts all the time) but we usually paid them when he got paid.

Does it count against you in the voting if you make payments?

[Viki.W]

Hey angelrainbow, You have the same worries as all of us waiting for an IVA. It WON'T make any difference if you make token payments or not. As you only have about 3 weeks to wait then I wouldn't pay anything as you will need to get some contingency money and your first IVA payment together. The worst that could happen is have more debt collectors round, they CAN NOT enter your house and take anything. I know it's scary but your so close now so hang in there. X

[aguise]

Hi angelrainbow.

As vicki says we have all had the same worries when told not to pay creditors. Do as vicki says get some money behind you for contingency and your first iva payment. It takes quite a while for them to do anything and your meeting will be very soon. We had struggled to keep up to date with everything until we applied for the iva and I found it hard not to make payments. Yes I had phone calls but it is only for a short time and you will get through it. If you find calls difficult then dont answer the phone or get caller id. If they knock your door, which they very rarely do then tell them you are only prepared to discuss it via the post not on the doorstep, but I really doubt this will happen. If they ring inform them of your company and ref number if you have one and dont be drawn in to making payments, if they are pushy just tell them that is all the information they need at this time and end the call.
You will be fine, nearly there.

Ang

[size5]

Viki and Aguise are correct, it IS scary but if you cannot cope with the old payments then they have to stop sometime so now is as good a time as any.

One more point you may wish to consider. If hubby is paid 4 weekly and his is the larger of the incomes you may wish to ask your IP to look at 4 weekly payments so that they coincide and be less of a struggle.

Regards.

[kallis3]

As you have been paying your cards, your creditors will not do anything. Once you stop, you will just get calls and letter to start with, which aren't nice, but as long as you don't let them bully you into making a payment, can be dealt with (just put the phone down!).

As yor creditor meeting is looming, I doubt they would have time to do anything more and they won't send round bailiffs.

Debt collectors - just tell them to go away. They have no rights to force you to pay anything, and you don't have to speak to them.

It will all come right in the end.

None of us like not making payments as we all want to clear our debts, but as the others have said, you need to stop making the payments so you can build up a small contingency fund.

Hope you get your date soon.[:)]

[paulanylight]

Hi like all the other comments do not make any more payments you are just wasting money you do not have, regards the phone calls you will get it may be worth having caller display on your phone , any number you dont recognise dont answer best of luck

[kallis3]

Paul, I notice that you have your real name showing in your profile. There are a lot of IP's who post on here, and possibly others who look. Most of us on here have removed our real names.

Just a thought.

[paulanylight]

thanks for that just a computer novice!learning by mistakes

[Soulgrowth]

Hi Angelrainbow ... it's always a bit scary at first ... but hang on in there.

Welcome to you also Paul.

Debbie