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I owe aprrox £20000. My husband and my income combined is approx £2400 pe rmonth and outgoings arew £1600.One of my creditors is car finance - would I lose my car or would I be able to keep it? Also do I qualify for an IVA?
Kind regards

Hi nb and welcome to the forum

Your post seems to indicate that you have disposable income of £800, so (without taking account of ongoing interest charges) you would be able to repay your debts in 25 months. In such circumstnaces it is unlikely that an IVA is suitable for you.

If your car is on hire-purchase, you will need to maintain the payments to ensure that the car is retained.

I must stress that I am just one of the experts on this forum, and that you would be wise to seek other opinions before deciding on the right way forward.

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

Hi n.b and Welcome to the Forum,

From the figures you have provided your disposable income would be £800. Disposable Income (D.I) is the amount you have left to offer your creditors after you have deducted all monthly general living expenses (food, clothes, medical etc) from you total monthly income.

When calculating your D.I, DO NOT include your minimum payments to your creditors. I don’t believe an IVA is the best option for you, this is because your D.I is quite high .: D.I of £800 p/m X 60 months (duration of and IVA) = £48,000 paid back to creditors.

Through a Debt Management Plan you should be able to pay off your debt in approx 2years.

Best Regards. IVA Experts

oops sorry Mel I didnt see your reply there!

Best Regards. IVA Experts