www.iva.co.uk

Called 'DebtFreeDirect' earlier.. Reason for looking at IVA's is because i am struggling at present, and naturally will continue or get worse in that struggling field...
From this phone call, i was told it should be possible to get into an IVA, and do a 4 year 9 month and be deft free after that ? My monthly amount to creditors per month is like £680 per month (got 5 years left on a big bank 7 year loan). The chappy on the phone earlier bashed on his calculator and said i could do an IVA and carry on paying the same amount now, and interest be frozen.

So on a how much i owe now kinda thing, without continuing interest = say £30k
based on the iva quote earlier, payback = £40k

Speaking to the wrong people maybe ? i was under the impression an IVA was a way of making things easier (as per the adverts), for those who have messed up, and want to pay back there creditors, just at a lower amount (all creditors use risk management, so already cover themselves for this scenario) and have the chance to start fresh after 6 years and learn to manage better next time ?

Hi and welcome.

I would recommend that you phone one or two companies as DFD have had some negative feedback on here recently, and it wouldn't hurt to have another opinion.

I wonder though, with the figures you have been quoted, if that includes the IP's fees? Don't forget that the idea is to pay back as much to your creditors as you can, and if you can pay back the whole amount, then that is great.

It certainly sounds as though you could pay them back in full. You might be better off doing a debt management plan if you can get your creditors to freeze interest and charges.

Check out www.iva.com for a list of companies, or click on the expert link on the left hand side of the page and phone one of the professionals up who post on here. They will explain all the options to you and advise you as to the best one for you.

Are you sure there has not been a crossed wire somewhere?

If you can afford your payments then you simply don't need ANY of the debt solutions as the debts can be afforded.

Regards.

He did say that he was struggling..........

I do get the impression though that he thinks that an IVA is an easy way out of your debt, which of course it isn't.

Understood re the sruggling bit but I thought he also said that he could pay the same amount as he is paying now? Unless I misunderstood of course.

Regards.

No, it's probably me!

Be interesting to see if he comes back and and clarifies for us.

I am struggling, sometimes borrowing peter to pay paul.. I know an IVA is not an easy way out, but when u have a credit card with just over £2k on it, and the company keep putting the APR up, so its now at 47.83% APR, you begin to wonder how your gonna get out of a mess...

The problem i have got myself into is: Rent, Bills, Petrol to get to work, etc, normal living costs + creditor costs, leaves me with around £60 per month. hence struggling !

How many creditors do you have in total Stuie?

You should speak to an IP as maybe bankruptcy would be the best option for you. It is all fine to number crunch and come up with a figure but every person is different as is the advice. Often some firms forget that the I in IVA stands for individual.

You definately need very tailored advice about your financial situation, and the first thing to be looked at is what you can comfortably afford to offer on a regular monthly basis, having made allowance for all essential household and personal items of expenditure and some towards contingencies. The answer to that question will probably suggest which debt solution is the most appropriate, and an insolvency practitioner can help you with this.

Speak with several Ip firms for advice - we are with DFD and we have been absolutely fine with them and they have been very supportive from day one. We will pay back 100% by the end of our 5 yrs due to increase salary etc however that doesn't bother me - at the end of the day i spent the money so i am duty bound to repay as much as a i can back in the five years that I have been given as a second chance !

Melanie comes highly recommended on this forum - why not call her office !

I can only ask again, have I missed something here?

The poster has indicated that a respected IP firm has said that he can afford his payments but may qualify for an IVA at his current level of contribution?? Then, the poster himself has stated that he has a surplus AFTER his credit bills have been paid.

I don't doubt that the poster feels he is in a very tight situation, and, as Melanie rightly points out, a professional eye to look at things, including hidden expenses, can never be a bad thing but notwithstanding that a second opinion is to be encouraged, how can we end up with a thread where BR is mooted as an option when he can (seemingly) afford his contractual repayments and we also have no idea as to assets the poster may have etc?

Maybe it's just me, but with the information given I can't really see BR being in anyones best interest here.

Regards.

I would doubt a Court would make a bankruptcy order for someone who could afford to meet contractual repayments in any case.

Exactly.

To borrow from the poster "Rent, Bills, Petrol to get to work, etc, normal living costs + creditor costs, leaves me with around £60 per month".

There are many that post on here that would love a surplus of £60 after all costs have been met, so I suspect that the issue may be more a money management one rather than a debt management one.

Regards.

For example purposes:
Monthly income = £1700
current monthly outgoings = £1800
Which means i am using means from a credit card to stay afloat.. and yes, i do need to speak to a practioner, or someone who has the time to listen to my situation rather than sell me there product (IVA)
DFD have said i owe £30k, go with them, pay as i do now over 5 years, i will be deft free. Total payback in the 5 years = £40k

I havent called many companies yet to see who can do what, ideally i would like to talk to an IP to see my options, but when you call the number for the bigger firms, you speak to someone who enters your details into a computer and that says what u can do, etc.....

oh, and as to Size5's comment about most people would love to have £60 surplus left over, food is used with that £60..