Iv been reading and would bankruptcy not be a better option for me ?? I don't own my house but I have a car on HP. Would they take the car off me even tho I need it for work??
Just thinking out loud here.. I have an increasing family and I'm just thinking what would be best for them really...
You're more than half way through your IVA now assuming it's 60 months so I wouldn't go there now unless it's absolutely necessary as you could end up paying IPA payments for up to 3 years within bankruptcy.
I note you say you're only thinking out loud but with a good IP on your side, I'm sure you can move forward with an increasing family.
Not sure about the car, but I know someone else will be able to answer this point.
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
Hi - There should have been a reason why an IVA was a better option for you then Bankruptcy in the beginning. Can you remember why it was more beneficial to you? How long have you got left? FYI if you fail your IVA and go Bankrupt you will have to pay your surplus income into your BKY for 3 years so could be worse off/no different than what you are doing. Has your I&E changed? The HP Company will decide whether they will allow you to keep the car or reposess it. The Trustee in Bankruptcy will decide whether the monthly payment is a reasonable expense.
That's why I'm asking. As reading paperwork today. I seen that bankruptcy was an option but it wasn't chosen to save the embarrassment of having to do it and stigma around it.
If I remember correctly the company you are with you being on the right track is pretty much a certainty - they seem quite ethical.
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
I chose the IVA over bankruptcy and the stigma surrounding it too. When I went in my IVA they put bankruptcy notices in my local paper and I dreaded that.
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
It's an anachronism that no one has had the guts to sort.
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by Phat_Mylo
That's why I'm asking. As reading paperwork today. I seen that bankruptcy was an option but it wasn't chosen to save the embarrassment of having to do it and stigma around it.
The publicity is a big factor in putting people off bankruptcy but there are other factors. Many wish to at least try and make an affordable offer and if creditors accept then great but if not they can then petition knowing they tried they best. The vast majority of people borrowed with every intention of repaying and for this reason alone many enter IVAs.
There is also the cost of bankruptcy which is circa £700 each. This is bad enough for an individual but for a couple it is substantial and many enter IVAs because they cannot afford to go bankrupt. They may have a small surplus income and it would take months if not years to save the costs and in the meantime they would be exposed to creditors.
There are also employment issues that need taken into consideration the value of any assets such as a car or home need to be addressed so there really is a not a simple answer.
