stressed out already

[natasha.j]

hi
i am in the middle of changing my bank account for obvious reasons and i have sent all my documents to the iva company
i phoned them today to find out when they contact my creditors and the lady said as soon as we have all the documents
this is when panic set in i havent changed my mortgage over to the new account as it is the middle of the month and there is not enough money in there yet!
should i still be paying my creditors i have never missed a payment with any of them yet but it is really hard
do i leave the loans running which are in the old account as they just keep eating into the overdraft which is already high should i cancel them or will they freeze them when the iva people speak to them
i don`t know what to do i am already stressed and this process is just beginning
advise me please!!!!!!![V]

[kallis3]

The creditors won't freeze payments, neither will your bank, in fact they will keep taking them out so that they can get back as much money as possible.

Once our paperwork went in we stopped paying the creditors. Even when they phoned (and they will do as soon as you miss a payment) we did not make any payments and did not speak to them, just dealt with them by letter.

If you have any worries, I would contact your IP and ask them.

[natasha.j]

hi kallis3 thanks for responding
[V]should i write to them and just send them token payments so that they don`t eat my overdraft anymore

[Viki.W]

Hey Natasha, just wanted to welcome you to the forum. I'm a bit surprised that your own IP hasn't advised you at such a late stage. Personally, I stopped paying creditors as soon as I made my first telephone call to IP. Whatever you decide to do, it won't make any difference to the outcome of your meeting. Good luck and keep posting. Viki X

[aguise]

Hi Natasha and welcome to the forum from me too.
I just left my loans to default as I was already art the limit of my overdraft. I cancelled all the necessary debits and changed them via telephone to the new account. Your overdraft can be included in your iva anyway as ours was. The best thing to do is to speak to your company and ask their advice.
All the best and keep us posted as to how you are getting on.

Ang

[freelili]

Natasha, what did your IP advise? I was told to make token payments but some say just miss them, cancel as many direct debits as possible so that you dont get extra charges for them bouncing. Just maintain the mortgage and priorities.

Just a quick question, did you use the first IVA company you spoke to, did they explain everything problerly etc? It helps if they tell you everything so you know where you are.

With that said its a difficult time when youre 'between banks' and still getting things sorted, its also scary missing payments but if you can build up a nice contingency now, its a good start.

[MelanieGiles]

You should take your advice directly from your IP Natasha, as this is what you have appointed them to do for you. IP firms differ on the advice they give clients in the run up to proposing an IVA, but this should have been made clear to you from day one.