www.iva.co.uk

i am currently in the raf as an engineer and my wife is in customer service (part time). we have totalled our debts to about 18000!!! i still don't know whether an iva will be acceptable for us. some of my concerns are:-

1.what happens in emergencies, ie car breakdowns, medical expenses etc

2.if my wife gets paid over time 50% we keep and 50% goes to the iva. what happens with the 50% gone to iva, ie does it go towards our debt so we could finish early or is it taken for charges to pay staff.

3.how do the iva staff get paid???

Hey shaqs, welcome to the forum. Could you just give a little more information about your individual debts as you may not qualify for an IVA? Are they all joint or individual?

Hi Shaqs77 and welcome to the forum.

1. You would have a monthly allowance to save for your car and medical expenses.

2. As far as I'm aware the 50% goes into your IVA pot along with all your other payments. The payments to your supervisor are fixed at the beginning of the IVA, unless there are extra fees incurred for a variation for example.

3. Your IP is paid from the fees that are fixed at the start of the IVA.

Hi Shaqs77 and welcome from me too.

You are allowed enough money to live on in an IVA, and a lot of people manage to make savings. Also, if a really big bill comes up, you can sometimes arrange to take a payment holiday.

You may not be eligible though if your debts are separate ones as the threshold for an IVA is around £15,000. I believe it is 3 or more creditors as well (I'm sure someone will correct me if I'm wrong on that).

What trade are you Shaqs?I am an ex plumber.
An IVA can be a useful tool in sorted out debt problems.

Hi
Any extra received from overtime etc goes into the IVA pot,this will give the creditors a better return.It could shorten your IVA if enough was paid in to repay the original debt in full plus IP costs
Regards

If your IP uses the IVA protocol, you will be allowed to retain the first 10% of any additional earnings before having to pay over 50% of the balance to the Supervisor for the benefit of your creditors.

You will be provided with an allowance for contingencies, which will cover unforseen expenditure - and IVA staff are paid by their employers out of the fees that will be agreed with yourself and the creditors!

thanks that does help alot. as far as my debt goes i owe:-

1. £12700 loan to abbey
2. £2800 on my abbey credit card
3. £300 on my aqua credit card
4. £300 on my capital one credit card
5. £1500 on my AMEX credit card
6. £1300 abbey overdraft

i'm a mechanical technician in the RAF.

They are all pretty supportive creditors, so good luck with your application.