Posted: Thu May 31, 2007 7:49 am
I am new to this so apologies in advance. My wife and I have accumulated debt (all credit card debt) over the past 20 years to the region of £350K. (I know it is a huge sume and we are very embarrased about it). For the last few years we have simply being paying off one card with another but got to the stage end last year when this was no longer viable.
We have been seeking help with a joint IVA through Grant Thornton and a creditors meeting is set for later this month. The offer is 25p/£ and done over a short time line as we have no dispossible income (and little prospect of that changing over the coming years)but do have assets totalling £100k which we will release to fund the IVA. Total of 37 creditors ranging from £470 to £47,000. Not listed them all but the larger debts are:
MBNA 47K
Halifax 30k
RBS £20k
Frizzell £18K
Co-Operative Bank £28k
TSB - £23k
Barclaycard - £22K
Egg £14k
Natwest £10k
Tesco £10K
Citibank £12k
We are really worried about whether IVA will be successful because short of agreeing DMP with creditors, most unlikely, our only option is BR, which I am desperate to avoid. Any gut feel as whether IVA will be accepted? I do worry about MBNA because they are almost certain to vote no, they have been most agressive in chasing payments and will not accept token payments. The draft proposal prepared by GT does highlight huge difference in what creditor will get for IVA 25p/£ against BR 3p/£. Not sure how arrived at 3p figure but assume it is correct. Why would they vote no in such circumstances
We have been seeking help with a joint IVA through Grant Thornton and a creditors meeting is set for later this month. The offer is 25p/£ and done over a short time line as we have no dispossible income (and little prospect of that changing over the coming years)but do have assets totalling £100k which we will release to fund the IVA. Total of 37 creditors ranging from £470 to £47,000. Not listed them all but the larger debts are:
MBNA 47K
Halifax 30k
RBS £20k
Frizzell £18K
Co-Operative Bank £28k
TSB - £23k
Barclaycard - £22K
Egg £14k
Natwest £10k
Tesco £10K
Citibank £12k
We are really worried about whether IVA will be successful because short of agreeing DMP with creditors, most unlikely, our only option is BR, which I am desperate to avoid. Any gut feel as whether IVA will be accepted? I do worry about MBNA because they are almost certain to vote no, they have been most agressive in chasing payments and will not accept token payments. The draft proposal prepared by GT does highlight huge difference in what creditor will get for IVA 25p/£ against BR 3p/£. Not sure how arrived at 3p figure but assume it is correct. Why would they vote no in such circumstances