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Posted: Tue Mar 17, 2009 3:48 pm
by Jobie71
If the IVA fails is it automatic bankrupcy? We are in arrears of 3 months, as we were granted half payments to pay for car repairs. I go on maternity leave in May and will need a break from payments for 6 months. We are so worried that we won't be able to catch up. What will happen? Our supervisor hasn't reassured us as yet.
Posted: Tue Mar 17, 2009 3:57 pm
by rayb
Not necessarily as you may not of paid enough to cover the bankruptcy fees out of the pot and unless it in your terms and conditions it is more likely that you will be back to square one again and the creditors will be on your back.
Usually once you miss 3 payments the IVA will fail and bankruptcy can be your option but be aware it will cost £495.00
Posted: Tue Mar 17, 2009 4:08 pm
by rayb
Twoods you are being very negative. I am sorry you had a bad experience but please do not feel that it should be the same for everyone.
Bankruptcy is not everyone's cup of tea and at the end of the day when you sign up for an IVA you are aware of the charges etc within the proposal
Posted: Tue Mar 17, 2009 4:34 pm
by kallis3
Bankruptcy is fine for those who want it, or there is no other way out for them.
Some of us don't want to lose our homes, and some of us want to pay back as much as we can to our creditors.
Most people on here in an IVA do have bank accounts.
Posted: Wed Mar 18, 2009 8:57 am
by David Mond
A variation can be the answer for a payment break to cover your loss of income whilst on maternity leave. Discuss with your IP asap.
Posted: Wed Mar 18, 2009 11:14 am
by Jobie71
David Mond wrote:
A variation can be the answer for a payment break to cover your loss of income whilst on maternity leave. Discuss with your IP asap.
Thank you for your reply, but not sure what you mean by variation? By adding on payments will that mean the 5 year term will be extended?
Posted: Wed Mar 18, 2009 11:22 am
by Adam Davies
Hi
Yes, any payment break agreed by your creditors in a variation meeting is usually added onto the end of your IVA
Regards
Posted: Wed Mar 18, 2009 11:24 am
by kallis3
With missed payments, you can either make them up by paying extra for a few months until you catch up, or by adding the payments on to the end of the term.
Posted: Wed Mar 18, 2009 1:09 pm
by Jobie71
kallis3 wrote:
With missed payments, you can either make them up by paying extra for a few months until you catch up, or by adding the payments on to the end of the term.
Hi, thank you. That sounds a bit more promising then as have been worried about losing our home if we were forced to go bankrupt. We are half way through, but it has been such a struggle already and would be a disaster if we lost it all now! We really need help with budgeting as husband gets paid weekly and from that we have to put money aside for car repairs, dentist, optitians etc. He only gets £200 per week and we have to do the shopping from that too and petrol!
Any ideas?
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