www.iva.co.uk

How are utility suppliers affected by an IVA. Is it better to clear the utility Co's from your creditors list b4 invoking an IVA?

Hi
If they are current suppliers then you may be better agreeing repayments with them and pay this outside of your IVA, with the amounts built into your expenditure allowance. If they are from a previous property or a previous supplier they should be included in your IVA.
Regards

If there are arrears to your current utility provider and you are able to switch to a new company the debts to the previous provider can also be introduced.

if you owe any money to a utility company you are unable to switch unless the full arrears are paid off in full, The LAW, Be very carefull you will end up on prepay meters, almost doubling the cost of your utilities with the above advice.

Also it is against the Law to enter into an IVA
and not include all debts.

Yup,be warned that if you fail to clear your previous utility providers balance prior to switching you may well end up paying a fortune in prepayment meters/tokens etc.

I think what others are suggesting Shelli is not to conceal the debts but to ask creditors permission to pay them outwith any arrangement.

Hi
Not correct Shelli
You can switch supplier, no problem. Your previous supplier will demand full payment and this amount will go into your IVA.
Agreeing repayments with current utility provider will be fully explained in the expenditure allowance, there is no suggestion of excluding debts.
Nearly everyone is in debt to their utility supplier.
Regards

The timing will have to be good on this also then Andy,as a new provider would run a credit check no?

Hi
I don't think that they do actually, but may be wrong. You would only really swap supplier pre IVA though, before your credit rating was totally shot
Regards

EDF do not carry out credit checks.

As Andy says, do it early before there is a problem with missed payments. It is like opening a new bank account. If you leave it until you have had your IVA approved it can restrict you but if you do it after the first conversation with your IP you can have a debit card, cheque book etc. Does not mean you can operate the overdraft facility but you have better facilities.

I'm sorry but I have had it done to me by british gas, I owed them £25 on my gas acount when i tried to move to another supplier it was refused by british gas, I had to reapply after 28days when the £25 had been paid, You have the right to apply to any supplier, but they have to by law contact your previous suppliers and request tranfer of supply, if you owe them any money at all, they will not release your account until it is paid in full. that is why it takes 28 days to tranfer an account, meter reading's final bills.

So how can it be incorrect if thats what happens.

Most IPs will tend to load the arrears on utility accounts as part of the ongoing expenditure, which prevents disruption in the ongoing supply. However if the arrears are significant, they should be included as a creditor.

Hi
Maybe it has changed recently ? I changed supplier last year from Britisg Gas to Eon and the change was made before I settled the previous bill.

Regards

We changed to Southern Electric from N Power and then to British Gas and I'm sure we settled the bill after it was changed over.