I am considering whether to do an IVA or a DMP and I am torn between doing the right thing and paying back all my creditors everything I owe them ( which will take about 15 years ) given the size of my debts. Or doing an IVA and being all done in 5 years. I have consulted with CCCS who have said that an IVA will stay on my credit file for 6 years after it ends, but 3 other companies say it is 6 years from when it starts. Can anyone clarify ? Also after the IVA has ended and gone from my credit file (say for example in 6 years time) am I obliged to a lender I ever had an IVA if Apply for credit in the future such as a mortgage?
Hi
It will be six years from the start of your IVA, not the end.
You will only have to declare it if asked and mortgage lenders are likely to ask.
A fifteen year DMP is unreasonable and assumes that all interest and charges will stop, something that can't be guaranteed
Regards
you can ring as many iva companies as you like-they can advise on dmps aswell and its free to call for initial advice so call away and get as much info and advice as you like FREE.
we're also not bad[:D]
kal is on here with skip and all the other lovelies so if we can be of any use to you please ask[:D]
i meant to say have a look on www.iva.com-there you will find all the advice you need aswell as this wonderous place xx
Last edited by flumpy dog on Thu May 28, 2009 5:54 pm, edited 1 time in total.
I think that a 15 year repayment plan is unrealistic and probably most reputable debt management companies would tell you the same thing as well. An IVA is run over a realistic timescale, with a clear exit route, no threat of legal action and no additonal interest being charged. It would seem that this would be a far more suitable option for you.
Thanks for all the advice. I have a few other questions which I would very much appreciate guidance on. 1. During the IVA (Assumung it is agreed) how am I monitored ? what do I have to provide to the Administrator and how often ? I appreciate that I need to be accountable but I am worried about feeling like I have Big Brother watching my every move and every penny I spend. (Like when you were 17 and living with your parents) !!!
You will have to declare any additional earnings in excess of 10% of your basic salary and pay across 50% of the surplus to creditors. You will also need to complete an annual return of income and expenditure which will form the basis of ongoing reviews as to affordability, and this may result in an increase in your contributions dependent upon your circumstances.
I guess you borrow your money and take your choice! If you cannot afford to pay it back, then it has to be fair that creditors are assured you are continuing to put best foot forward?
Thanks Melanie, I think that seems fair to be honest. Would you be able to say how succesfull IVA's are at being approved ? Jointly with my wife my debts are £80k and I have disposable income to pay to creditors of £360 but which will rise to £450 in 10 months as Im paying some council tax arrears. Does this sound like this mat be acceptable or in you professional opinion does my £360 seem too low to be of interest to my creditors?
Over 80% of all IVAs are actually approved - and some IP's see a much higher level as well. If the right offer is put forward, there should be no grounds for rejectin - and I think that you have a pretty good case on the information you have presented to propose one.
Contact an insolvency practitioner directly to get further advice on this and the other solutions that are available to you.
Melanie cannot suggest herself but I can. My husband's IVA was very difficult for many reasons - several other companies said "no chance" but Melanie got his through at the fist attempt with everything we asked the creditors to accept. You have everything to gain - your first contact I think will be Tina and she is a real gem. J
If you speak to an IP you should find that your council tax arrears can go in to the equation as well. They will also be very happy to cast an eye over your situation to make sure that you are not setting yourself unachievable goals in relation to affordability.
Hope this helps.
Regards.
Cert DR
23+ years in debt advice
I do not post for anyone other than myself
thank you all very very much fir your advise. Having been on this site for only 24 hours I have found all advise given to be valuable and I am sure going forward I will get great comfort from drawing on everyones experience and support. Thanks again.
We are here for you whenever you need any help or advice.
Let us know how you are getting on.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
I stand by what I said in a previous post in answer to this person:
I would always recommend that posters visit www.iva.com for a list of many companies and a lot of reviews of said companies.
You will always get an excellent service from them and they are there to serve both the creditor and the debtor!
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
