www.iva.co.uk

Hello
I got into debt about 3 years ago, but i was still managing to pay things off, mainly because i had a well paying job. Unfortunately, in august 2006 i was made redundant.
I thought i would be ok, as most of my loans and credit cards had protection on them. this however was not helped by the fact that my company took so long to get the forms back, that by the time they arrived back to me, i had been offered a new job.
The job, wasnt paying as much as my old job, but it was still good money.
It was at this point I decided that the as i was only paying of the bare minimum, I would go for an IVA. So I found a company, had the forms sent to me, filled them out, and waited. I was still getting the phone calls all the time, and this had started taking its toll on my health - to the point that contracted shingles in december. As such I was signed off work sick.
Whilst waiting to recover from the shingles, I got the IVA through, but because of the fact i had not completed by probation period at work when i got shingles, i again found myself out of work.
I looked round for a new job, and found one, but because where i live is not a high paying area (i was very lucky with my first job), i have had to take a 10K pay drop. i am really struggling with the payments of the IVA now, as they were set at a time when my take home was £1500 pm. this now down by £500 pm, and i am having to pay more in petrol than i did before.
I dont own any property, i used to live with my now ex girlfriend, but funnily enough, when my money worries reared its head up, and the redundancy - we split up! i had no choice but to move in with my eldery parents.
With the struggle of the payments, i am now considering going BR, as i feel that i might be able to have part of my life back.
Any advice would be greatly appreciated.

Hi
Bankruptcy is certainly an option that you must consider as it will dwaw a line under your debts once and for all.The other option is to see if your IP will call a variation meeting to reduce your payments to a realistic level.
Have a word with your IP and see what they advise.
If you do bo for bankruptcy there is a wealth of experience on this forum to help you through it.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

Hi Fender

I would suggest that you work out an affordable payment, you feel you could continue to make under the current IVA and see if your creditors will accept a reduced offer. Even under bankruptcy proceedings you will probably have to make ongoing payments for the next three years.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

Thanks to both of you.

i have no problem in giving payments, its just the amount that i have to at the moment - I just cant afford it. And if it wasnt for the fact that my familly are helping me out, i would BR already.
But the whole thing about this, was so that i could draw a line under it all, and not have to rely on outside help from my folks.

Well i got in contact with the IVA company, and they have told me that they will not be able to lower the payments, and have advised me that the fact that I do not own any property, that BR is my best option, unless i can get a better paying job, or take on a 2nd one.
They are going to send me some forms through regrding BR, but they now say, that it should have been the way i should have gone in the first place!

I think it unfair of them to say you should have done that in the first place when 1) your situation was different then and 2) Did they tell you this back then..?



Angie xx


My IVA Story......http://bagpuss.blogs.iva.co.uk/2007/09/ ... iva-story/

Hi
Well why did they propose your IVA if they felt that bankruptcy was the correct solution ? Did they say this at the time ?
In the mortgage industry they would not offer a mortgage if it was unsuitable or against the clients best interest.[well they shouldn,t !!]
If you decide on bankruptcy then stop paying into your IVA and use that money to fund it[£485]
How much could you pay into your IVA and what was the original figures ?
Regards



Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

The original figures were - income £1350, exp was £950, and the iva was £435.
I am now taking home £1050. I have cut out on some more expenditure, but i am having to rely on my folks to get by.
I have noticed that the IVA is paying back 27 pence in the pound - so i will be paying back to the creditors £18k. But there is almost £9k that i am paying to the iva company.

I feel that if the iva was just paying back the creditors, then i could afford to pay that amount back over 72 months, by doing overtime to help. That would be about £260 a month. Trying to get up to the £435 a month that is currently being asked, I would need to do 10 hours overtime a week - and ot is not garuanteed were i work.
Is it possible to set up an agreement with the creditors direct? or is BR my only option?