Would it be right to go on holiday in 2 weeks? Not yet into an IVA but a friend offered an apartment abroad so I booked the flights on a credit card I mistakenly thought I could keep. The trouble is I need to pay for car hire on my pre-paid mastercard, will this look bad for me when my IVA proposal goes to creditors? Have they any way of finding out what I spend money on?
If you have already recognised that you are insolvent, it was wrong to book flights on a credit card which you would have to include into an IVA, and which may not now be paid off.
What made you think that you would be able to retain a credit card whilst in an IVA? Your IP will look at all recent transactions when they are considering your case, so I would tread carefully if you do decide to take the trip. How much were the flights, and do you have sufficient money loaded onto your prepaid card to cover the car hire?
Thank you for replying Melanie. The flights were booked some time ago but I have continued to make payments onto this card as didn't decide an IVA was an option until last week. I told my DMC I wanted to keep this card to pay off the balance but he then told me I couldn't as it had to be included. I was totally taken by suprise because I stupidly thought I could keep one card with a low credit limit.I suppose old habits die hard and I have always bought goods and services on them for the extra protection they afford such as companies going bust etc. The money on my pre-paid card is my mobility allowance which I need for help to get around so I consider car hire essential on this trip as the apartment isn't near any transport services.I definately wouldn't have booked them if I thought I wasn't going to pay it back.
All unsecured credit has to be included in an IVA.
As to your prepaid card - make sure that you can use it to book car hire - a lot of companies won't accept them.
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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.
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If the flights were paid for a good while back then you may be ok as you have been making payments in the meantime, however could you clarify as to whether you are already in a debt management programme?
Regards.
Cert DR
23+ years in debt advice
I do not post for anyone other than myself
At the time I booked the flights I wasn't in any kind of programme - When I did approach a debt management company I wanted to try to settle a % of the debts owed to each creditor.I didn't tell the company about the card I booked the flights on because I thought I would keep one card. Now I need to try for an IVA I have had to include it. The flights were only £9.99 each plus taxes so we're not talking about hundreds of pounds. I chose these cheap flights because I intended to pay for them myself.I am still in a dilemma as to wether to go or not. We can only spend away what we would spend at home it's just this car hire issue.
hello there mad ,if you are comfortable going on holiday ,then go,but personally when i took my head out of the sand and made arrangements to set out on the iva journey, i did,nt have the money or the time to consider a holiday as i was totally focused on getting my iva accepted.
Last edited by MRBLUESKY on Sun Aug 30, 2009 6:46 pm, edited 1 time in total.
To me it would depend on how much the car hire is going to cost. If you can cover the cost then I would probably go as the tickets are booked, and it's unlikely you'd get a refund. What's done is done, and we all learn from mistakes.
I actually went on holiday a couple of weeks before my creditors' meeting (paid for by my partner!) and it took my mind off the stress of the IVA.
Yes, thank you everyone, you've made my mind up. I was already in two minds but now I've decided not to go.Not realized that once in the IVA we're going to need every penny. What if my washing machine or the car broke down etc? I'm starting to get really scared now. No cards to fall back on and that's going to take some time to get used to.
If you can afford to live whilst there, and it has been paid for, then I would go now. You have spent the money so it will make no difference to an IVA.
You may find that it is a while before you are able to go again.
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
The other thing to bear in mind is that it may be some time before you do get the chance for a holiday again, and with flights which only cost a tenner, I would go as well. Do you really need a car, or could you get away with sunbathing and chilling out all day in the apartment - it could be the rest that you need whilst thinking about your financial future.
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
Being two years into our IVA payments (24th payment goes tomorrow)...it is only this summer that I have really struggled with the british weather and I really now long for a week abroad by a swimming pool so that I can relax and chill out....if you have the opportunity grab it....you may be stuck for the next few years !
Sharing from experiences of dealing with debt
There is a solution for everyone .... Just need to stay positive !
