www.iva.co.uk

Congratulations to Jazzyjaz on having your IVA approved. However I couldn't help but notice that MBNA voted NO to it.
Since they are one of my larger creditors, I was wondering if they make a habit of voting NO or not. Any info appreciated.

I'm sure Melanie or Size 5 will be able to answer that one, I haven't a clue I'm afraid.

They will reject IVA proposals where the debtor could technically pay their debts in full under a non fee paying DMP in under 10 years. I have spoken to their representatives recently, as it was intimated on the forum recently by another expert that there may be a change in policy, however there does not seem to be any changes likely in the forseeable future.

Of course there are always exceptions to this, and cases are still viewed on their individual merits.

Humm - do you know if the Halifax/Capital One or Citi Financial think this way too as my 3 major debts are with these? I have my meeting next week and i need all 3 on side......

No they don't - they are very commercial and recognise that a five year repayment scheme is probably long enough.

when you say'the debtor could technically pay their debts in full under a non fee paying DMP in under 10 years' does that take into account your other creditors?

MBNA make up £9k of my £60k debt and I could repay them in ten years...........if it wasnt for the others!

Yes - you have to demonstrate that you could pay off all of your creditors within that period.

Yes it does take the others into account as all DMP's should be done on a pro rata basis. If you were to use a typical fee paying DMP provider, by the far the most common scenario, then to clear in 10 years or under, assuming interest freeze, would take a monthly contribution of circa £606 per month.

Regards.