www.iva.co.uk

Hi
I have the following debts:
Orange £1600
Lloyds Loan £6500
Lloyds Credit Card £2000
Natwest Overdraft £1900
Welcome Loan £3000
Everyday Loans £3000
Barclaycard £700
Capital One Cred Card £1,000
Vanquis Cred Card £1,000
Aqua Cred Card £750
Total £21,450
What sort of monthly payment would I be looking at? Also, I am worried that Lloyds would not accept an IVA as the loan is 2 months old and credit card 3 months old.

Hi and welcome,

It all depends on your Income, Outgoings etc but you would be best to speak to an IP to go through the options.

You can go on www.iva.com and there are various companies on there with reviews etc and you can get free advice and take it from there

Hi and welcome from me as well.

I agree with Ray that you need to speak to a professional. You could also try clicking on the experts link on the side of the page. The IP's who post on here come highly recommended. They will go through all the options open to you.

You may find that you do have trouble with Lloyds as the loan is certainly your biggest creditor and I think they can be funny with loans taken out shortly before financial problems hit. You might find that a DMP is better for you in the short term.

You mention that the 2 debts with Lloyds are very recent. Have you had a change in circumstances since you obtained them?

Regards.

No creditor likes recent loans being entered into an insolvency but as size5 says changes of circumstances are taken into account. In addition, banks will take into account how long a person has had a relationship with the bank and not just look at a recent loan and reject. How long have you banked with Lloyds and have you ever borrowed from them before?

I've banked with them for over 3 years. This is the first time I've borrowed from them.

hi cco and welcome. the guys are right there is no set amount. your iva payment will be based on affordability.
i would take the others advice and contact an expert.
the initial chat is free and it may help you to discuss with someone all the options available to you.
the main thing is to try and not fret too much-there is a solution for you and please use us as much as you need for moral support and advice

I would not be inclined to reject your IVA proposal based on recent Lloyds debts. Speak to a couple of IPs to ensure that an IVA is the best option for you and your creditors but if the other criteria fit I do not see a problem with an IVA proposal for yourself.

I have never had a Lloyds vote rejecting due to the age of a debt, so I am not sure this is much of an issue, but different IPs may have differing views of this, so best to seek a couple of opinions before you make your mind up.

Should Lloyds have given you a loan so recently in view of your other commitments?. My experience of Lloyds over 20 years was just one hard sell after another (not cheap either!)

Unless there has been a drastic change in circumstances, would Lloyds not query why you had taken a loan and credit card out if you are going to have problems just a couple of months later?

The background story should explain any changes but Lloyds and their agents are very commercial and will look at all proposals fairly. However, if the client borrowed the money to go to Vegas and ran the credit card up while playing blackjack and never had any real ability or intention to repay, most IPs would not act for them anyway. We have to act as honest brokers and we have turned away clients in the past who basically were having a laugh with creditors' money. I am sure other IP firms do the same.

Indeed. I have turned away only yesterday a client who thought he was being clever, having run up a new debt and blown the money he made 1 payment and then asked for help, having been told, probably by the ubiquetous "man down the pub", that the proportionately small amount of the debt would not count against him as it could be bound if the other creditors agreed to the proposal. As Michael intimates, it is not worth jeopardising hard earned relationships with creditors for the sake of the odd chancer who tries to slip the net.

Regards.

It is true that there are chancers but as size5 has said circumstances do change rapidly and must be taken into account. I once had a client who borrowed £20k to take his wife on a luxury cruise for their 25th wedding anniversary. Two weeks into the cruise he received an e mail from his employers terminating his £50k a year employment. That certainly ruined the rest of his holiday but we put forward an IVA and it was approved. Background information is vital.

Are companies more likely to accept a debt management plan than an IVA? i.e Go on to a debt management plan for 12 months and then move to an IVA.