we have decided we both need to look at an IVA.

[a.j]

my husband and I both have entered into a DMP with Payplan which has currently been running for nearly 12 months. We are now going to try to both get an IVA . Our combined debts totals over £100,000 and we currently have a mortgage with Northern Rock and an unsecured load with them which isnt on the DMP as it will effect our mortgage . We are not in any arrears with our mortgage and have managed to pay over £1200 every month to Payplan towards repaying our creditors. I am now interested in any advice with relation to taking this forward as an IVA each with Payplan as I have read some emails on your forum and am abit worried now whether to stay with Payplan or not. Up to now they have been really helpful but we have decided we both need to look at an IVA. Can you please give me as much advice as to start the ball rolling on our IVA's? possible as Payplan will be contacting me shortly to talk about the IVA's. The reason we havent gone BR is due to my job being with the local government.

[tracy.h]

Hi a.j
Welcome to the forum,i must admit £1200 a month in a dmp is a considerable sum,considering it would take,years to pay this of as with dmp there is no safety net to protect you from creditors,or guarantee that interest will be frozen. Was there any reason why payplan never suggested an iva in the first place.
If you want technical advise from one of the experts regarding an iva then could you post details income and expenditure amount oweing on mortgage and value of your property,and a list of creditors,even if you decide to stay with payplan then its still advisable to get at least a couple of different companys to advise and the technical experts that post on the forum always give good upfront honest advise,and help many people on a daily basis to secure successfull iva's
I hope this helps.

Tracy

[Darren]

Hi there i had the same mortgage with Northern Rock a together mortgage, the unsecured amount on your mortgage would have to be included with your iva which isnt a bad thing i dont think...but iva`s and Northern Rock didnt mix for me they expected at least 40 pence in the £....from what is owed! i couldnt afford it...but hope this helps obviously im no professional on this subject but learnt a bit...it was mainly NR who rejected my IVA application....also they have a habit of securing the unsecured owed against your home after about 4 years of you paying into a DMP so i hear from cccs try giving them a call for more info really because im not 100%(a charging order i think its called) but the sooner you get into the iva the better really especailly with NR, also that unsecured amount with the together mortgage, make sure the 1 clause in the iva is they are not allowed to touch your house throughout the iva and this unsecured loan will be done in 5 years (instead of the life of your mortgage) or however long the iva is for....i am going for bankruptcy tomorrow and dont mind at all now i was really worried about it at first going in the paper etc, but if some one was to pay me £100,000 to put my name in the paper with Bankrupt next to it, id do it! ...which i understand you cant do, but hope this helps a little, regards Darren.;0)

B word not as bad as you`d think ? (im gonna find out soon)

[jamesfalla]

Hi a.j

It definitly sounds like an IVA is a solution you should consider. Northern Rock are not an easy creditor to deal with but that is not to say that an IVA will be impossible.

As Darren says, I suggest that you speak to one or two different companies and see what they say. There is no reason at all that you need to stick with Pay Plan to propose your IVA if you do not want to.

James Falla

Expert in IVA, Bankruptcy and informal Debt Management solutions for over 10 years.

For more information visit www.jamesfalla.com and visit my blog at: http://jamesfalla.blogs.iva.co.uk

[MelanieGiles]

I am amazed that a professional firm would put you into a DMP with that level of debt and disposable income. What reasons did Payplan give you for such advice, and how much are they charging you each month to run the DMP? Can you advise how much you owe to Northern Rock and how old the debt is with this creditor?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[ajh]

Thank you for all your advice. Our unsecured loan with Northern Rock is £29,700 and it has been running for 2½ yrs. I have just had a telephone call from Payplan to discuss going ahead with an IVA for both of us. They did say that Northern Rock are not very forthcoming with IVA proposals and they would expect around £0.40P in the £. I just hope that if it all goes ahead, that they are outvoted by other creditors. We havent missed any payments to them at all but that probably doesnt matter. I am very grateful to those who have advised me on my inital question and will keep my fingers crossed that the IVA's go ahead. I am getting paperwork next week to check through but will not make a final decision until I am sure Payplan are the right ones to use. Details of other reputable IVA companies would be much appreciated. [:X]

[Skippy]

Hi ajh, if you are not sure that you are doing the right thing, I would suggest contacting any of the companies who are on this site, and Melanie is one of the best.

Yesterday is history, tomorrow is a mystery, today is the present - a gift to make the most of.

View my blog at http://skippy13.blogs.iva.co.uk/

[freelili]

I dont understand why you have been paying for a year when in fact you could have been a year sown the line with your IVA by now. I was with payplan and found the DMP very good and there were legitamate reasons why I couldnt go ahead with an IVA back then, then again you have reduced your totals in the year, perhaps that is the reason for it.

Anyeay I wish you the best of luck with whatever you decide is right for you but it is worth contacting 2 or 3 other companies for their advice, then you can make an informed choice.

LILY

I believe that angels breathe and love will live on and never leave. I cherish all you gave me everyday.

[MelanieGiles]

Northern rock cannot be outvoted as they represent 29% of your creditors and you need a 75% majority of creditors voting in favour of your proposals. I do not have problems with this creditor, although they do expect to see you making the very best efforts to repay as much as possible. I still cannot see the logic of you being in a DMP for the last year!

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[ajh]

The reason we have waited so long to opt for an IVA is due to my husband's job at the time was not secure enough to make that kind of commitment and also not wanting to face up to the fact that an IVA is really the only option left because of my job (BR) is not an option as I will loose my job. Lets hope the IVA gets approved fingers x.

[MelanieGiles]

Sensible approach and now perfectly understandable. You guys deserve to have IVAs accepted!

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[freelili]

Good luck with your IVA everythings crossed for you

LILY

I believe that angels breathe and love will live on and never leave. I cherish all you gave me everyday.

[ajh]

Lets just hope that 75% accept, I dont understand this part , there are alot of creditors involved and some are v.high debts & some low.

[MelanieGiles]

The 75% acceptance percentage is based upon the creditors who actually vote at the meeting rather than the total amount. So hypothetically (but this actually happened in one of my creditors meetings today) if only one creditor bothers to vote, and they vote yes, then you have 100% acceptance regardless of the amount they are owed.

I can remember last year getting a case accepted where the client owed over £60k in debt and it was accepted on a £40 vote from his dentist! Strange but true!

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[ivoriva]

lol, now that is quite amusing! I guess the dentist really needed his £15 return in 5 years time! But fair play to him, or to you Mel for orchestrating such a master peice!