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Hi,

I have around £26K in loan/credit card debts which I pay via the CCCS and approx 4K in student loans which I have been deferring for several years.

The house is in my partners name and he pays for everything including the low payment of £80 per month via the CCCS as I have been a housewife for the last 3 years.

I have recently returned to work as my daughter is now eligible for free part time childcare and I am earning in the region of £500 per month. I was wondering whether an IVA would be an option for me to start paying off my debts again - if I were to continue paying via the CCCS it will take me years to pay off.

I try offering my creditor F&F Settlement Figures last year as my brother offered to help me out and most of them accepted a low settlement figure except for my main creditor to whom I owe about £15,000 - they simply said no to any offer I made.

Also, I am not currently paying off the student loans but would I be best adding these to my debt list if I went for an IVA - can you include these? They were taken out in 1997,1998 and 1999.

I just want to pay this debt off, I have had this massive rain cloud over my head for too many years now and hope that someone may have some advice for me?

Sorry to ask so many questions!

Rachael

Hi and welcome to the forum.

Not sure whether or not student loans can be included in IVA's.

Did you actually pay off some of your creditors last year, and if so, how many do you have now?

An IVA might be a better option for you than a never ending DMP, but it will depend upon affordability and your own particular circumstances.

Student loans can be included into the IVA, and should be included even if you have not started paying them off. Can I enquire how much you have been paying to CCCS on a monthly basis, and how much you feel you could offer to creditors in an IVA?

Thanks Melanie - I just couldn't remember!

She's been paying them £80 per month.

Thanks Jan - should have spotted that!

Hi I started with £28000 in debts and paid £80 per month so I've cleared 2K in two years - one of my original creditors have been paid off and there are 7 others left - now I have looked into it I actually owe my main creditor £21,000 of this debt which is a massive portion - they are called CI finance and they took my debt over from the HSBC - these are the ones that turned my settlement offers down!

Melanie, I would ideally like to pay around half my wage which would be £250 as I feel that now I am earning I should also contribute to our household expenses - I feel like I have been living off someone else for too long now, my partner has really struggled to pay my debts off as well as everthing else.

You need to ring an IP for advice.

Either visit www.iva.com for a list of companies, or click on the expert link on the left hand side of the page. The IP's who post on here come highly recommended.

They will advise as to all the options open to you.

£250 would make an acceptable offer to creditors, but you would need to pay as much as you could comfortably afford into an IVA - the upside being that it ends at the end of five years.

Are you a property owner as a matter of interest?

No, my partner owns the property - I did look into bankruptcy a couple of years ago but I was advised that I might be seen to have an financial interest in the property though - I don't really understand it but it's probably because we've lived together for so many years, my partner has been supporting us financially and have a child together. I don't want to risk the property or tar my partners name.

That could be a problem if you were to go bankrupt, however these sort of claims are quite difficult to prove. I would suggest that you have a chat with an insolvency practitioner who will be able to run through all options with you and explain fully the advantages, disadavantages and implications of each option.

AN IVA looks appropriate - but discuss with an IP all the implications as soon as possible. Review www.iva.com as suggested and get comfortable with one or two and listen to the advice profferred. Good luck.