Hi, we are in nearly £40,000 of debt and are really struggling to keep are heads above water and we're thinking of going down the IVA route, but we are also extremely nervous about the whole situation and would greatly appreciate any advice anyone can give. The company we have spoken to are GW financial solutions, has anyone got any feedback on hem either. Thanks in advance!
Best idea is have a chat with them, ask them to take you through all the practicalities e.g. how do they work out household income, what allowances are in place (Stepchange), what happens about equity release etc.
I would also say that if it works out that you paying less than £100 per month into the IVA you are at the lower end of what makes its viable once their fees are taken out.
This is a 5-6 year relationship and you need to feel confident with that.
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
I would suggest the same exercise with several companies. You really need to find a team that you are comfortable with. Also ask if you could have a word with the actual IP if you need to during the IVA as some firms do not allow this.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
GW do not, as far as I can see, have their own in house I.P. This means that they will probably be a referrer, and it is entirely possible that they will charge a fee, typically 2 or 3 months worth of disposable income payments, for "assessing and collating" the case before it is passed to an I.P. This is an unnecessary expense and completely avoidable.
May be best to approach an I.P. firm directly, and preferably one that will not take payment in advance of any creditors meeting.
Regards.
Cert DR
23+ years in debt advice
I do not post for anyone other than myself
GW financial will refer you - i didn't realise this myself until it was too late and they charged me a fee which i was under the impression was used as part of my IVA payments but was not and they did not ever mention that they would simply put the case together then pass me to another company - after i had been passed over, the calculations that i had been given were increased by about £250 per month so please be very careful. I would encourage you to ask if they will charge any fees upfront, what they are for, whether they will handle your case and if not then who will they pass you over to - you should know which company will ultimately deal with your IVA so that you can research them and even go directly and avoid any additional fees.
IVA started Jan 2012
Last payment made June 2014 @100p
Completion certificate received Sept 2014
Hi Tim - recommend you have a face to face meeting with a local IP in your area. No point in dealing with GW if they are simply going to act as a middleman and charge you a fee for it. You want to speak to the Organ Grinder, not the monkey. Most good IPs will give you an initial meeting for free and I suspect you are more likely to meet the IP themselves if you deal with a smaller firm.
Timd7699, it is my experience and l am sure of many of us going through the IVA to feel nervous about the whole process. I agree with the suggestions above that you need to shop around - you may not have to go too far as this forum is blessed with supportive citizens and talents including experienced IPs. Be honest with them and l'm sure you will find a viable solution. Good luck
Its best to step back and dpeak to two or three companies before deciding. Taking an extra two or three weeks now will make a huge difference over the course of your IVA...
Sharing from experiences of dealing with debt
There is a solution for everyone .... Just need to stay positive !
Agree, get several different opinions from IP's first. Do remember though that most will want your business so have a long hard think about any other options you may have.
I have just finished mine and it has been the worst 6 years of my life, I was badly in debt but if I was in that situation now I am not sure I would have gone down the IVA route knowing what I do now and how tough it has been. Everyone's circumstances are different though so get lots of advice before committing.
Things I would be thinking about are,
1. Have I done everything possible to minimise the debts (i.e. shopped around for the best rates etc)
2. Could I realistically pay it all off by cutting other expenditure and having a tough few years?
3. Would a DMP be better for me?
4. Is it so bad that Bankruptcy would be better?
An IVA is not an easy option, it is a 5-6 year commitment and you will have zero surplus income and no real control of your finances. On the plus side if you really cannot pay and are just borrowing more and more it may well be your best option.
Good luck and do ask lots of questions on here.
IVA Accepted - Sep 2009
F&F Accepted - Oct 2014
CC Received - Jul 2015
as a current IVA user, who made the decision to enter an IVA to do the honorable thing by my creditors, I have a few sage bits of advice.
If you don't own a house and don't work in an industry where you may need a credit check / security clearance to work, go bankrupt, its faster, government regulated (IVA's are industry regulated with the government taking a very hands off approach) and you'll probably end up paying back less.
If you own a house / need to be able to pass security clearance or credit check, then you will need to look at an IVA, although the newer ones appear to have a nasty sting at the end with some loan stuff that I haven't really looked into in too much details but it appears to extend the process by many years.
