Good afternoon,
I am in the process of setting up a IVA, of which the payday loans are part of. I have now set up a new bank account with the Co-op who are not me creditors.
I have spoken to the payday loan company's to tell them about my plans, but they tell me that they system that they use is automatic and they are unable to stop my old cheques go to the bank.
So now i am worried that these failed cheques will now incur charges on my old bank account, although i didn't have a overdraft with them. Looking at the Natwest website is seems that they charge upto £35 per failed cheque, which is the last thing that i need at the moment.
Don't worry - these loans will be included and if you can, try and stop the cheques. You are fine with the Co-op.
All charges prior to IVA will be included.
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
Hi, if the cheques incur charges on your old account I wouldn't worry as like Kallis says they will be included in the IVA. Hopefully it won't be long before your IVA is set up x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
Thanks for the feedback.
I understand that the charges could be included in the IVA. But i was thinking that i might be able to close the account or cancel the Cheques but i think this is a cost of £10 each. So i am going to speak with my old bank tomorrow to see if they is anything that they can do. As the Cheques are not due to be cashed till Friday.
They will all be included, so if they are on your old bank account then I wouldn't worry about it.
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
As Kallis and othere have said - the banks charges etc will be included in the total debt entered into the IVA. Most of us on here as some stage before entering an IVA have had their bank accounts loaded with bank charges.
At £10 a cancel cheque charge - there no point -you may as well save the money and bank it elswhere, dont try and pay money into your old bank account either to cover these charges - as it could be seen as preferential treatment of creditors.
Concentrate on your new bank account - as try and save as much as you can - for emergencies during the iVA
At the moment i am at the stage where i have sent back all the paperwork and payment for me first month. So really i am just waiting for a creditors meeting date to be set. This is why getting more debt is not something i really want to do, as this would also need to be put into my proposal. I also have a saving account with the bank, as natwest are not a creditor as such. Would this mean that they could claim back any charges from this account.
I hope you can understand that this is just something that is causing me a pain as i have other worries and things to be thinking about. I just wish that the payday loan company would be able to delay cashing the cheques till the IVA is sorted out. Would make life so much easier.
I personally found the applying and waiting stage the worse - as it can feel your are in Limbo.
At the end of the day - even if the Payday loan cheques where cashed later - would you be able to meet the full cost?
Its can be difficult to "get your head around" - but dont worry about the debt/charges etc as they stand - all these will enter the IVA. Concentrate on the positive - putting you spare cash in your new account- and look forward to the start a new bit of your life.
Don't worry about the extra going in - it's all accounted for in your proposal. You're not getting into extra debt as such - we've all had other charges inbetween proposal and acceptance.
If Natwest are not a creditor then you should be ok to keep on with them. You could always open an Co-op account incase things go wrong.
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 would remove the money from the savings account as the hank can set off yur debts with this money up until the iva is accepted. Once the iva is accepted they no longer have the right to set off one account against another.
