www.iva.co.uk

My creditors meeting is ongoing today, and I've just been updated to let me know that some creditors are looking for me to extend the term of the IVA by 6 or 12 months. This has really irritated me, as the dividend was 37p/£ to begin with, and I think pretty good.

There's no way I'm going to accept an extension on that basis - bankrupcy will be the more sensible option as I have no assets to speak of. To think, I was pursuing an IVA as I felt a moral obligation to pay something back!

Oh well, we'll see if they are willing to re-consider, and if not - they'll lose out significantly....

I wonder if that's an unreasonable attitude? I don't think so, but I wouldn't!

Creditors may well accept if you do not have any assets and are prepared to go bankrupt. Advise your IP and see if creditors will reconsider. Good luck.

each to their own but what is 6 months on 5 years, surly if you felt a moral obligation before, 6 months should not alter it, only my opinion mind best of luck either way

Hi
Any idea why they are asking for an extension ?
Regards

I've fed back to the meeting and will wait and see what the outcome is.

I think six or twelve months (as some creditors have requested) goes against the spirit of the proposal. I've been reasonable in what I have offered and I expect the creditors to be reasonable too. Any moral obligation is eroded when someone seeks to take advantage of it.

andydavie wrote:

Hi
Any idea why they are asking for an extension ?
Regards

Sorry Andy, I think we cross-posted.

No - I think it's being explored at the moment. There was mention of the fact that my first three payments are lower than the remainder as I will be making final HP payments for a car, but I think clarification was being sought.

I understand where you're coming from Bumpkin....if you are prepared to be refused the IVA then go all out and refuse the modifications.

I think its about time the creditors had a wake up call, people are trying to repay as much as they can and by extending the length of the IVA's from the on set, then they are moving the goal posts in my opinion.

Let us know how you get on and good luck.

Quite agree Julie.

Bumpkin, if you are not happy with these modifications, then refuse them and go BR. You will still probably have to pay an IPA for three years so your creditors will get something back.

I agree with the others - if you're not happy with the modifications don't agree to them. 5 / 6 years is a long time, so you need to be happy with your choice.

Good luck x

On most IVA proposals, it does suggest that the debtor will go bankrupt in the event the IVA fails to kickstart.I have never heard an IP put into effect a clause in the proposal whereby the debtor will do a dmp should not enough vote be collected.True ot false???

This is an interesting 'test case', it tells us whether creditors would be willing to accept very little through bankruptcy or more from an unmodified IVA.

This time we are not in the N.R era where banks like N.R call debtors bluff that they wouldn't go Bankrupt....if the IVA is refused,now let see how who calls whose bluff? A test case indeed!

Still no word as yet.....!

I would have preferred not to go bankrupt, but its benefits would outweigh those of the IVA if the IVA was extended, or the payment increased from my initial proposal.....

I'll let you know the outcome when I do - thanks for your feedback.

Here Hear! I agree, and I have said so today on another thread. People make mistakes and entering an IVA isnt something anyone takes lightly, its a very stressful time. Creditors need to understand that they are being offered all that individual can afford in an attempt to try and make some good of the situation. Having read the outcome and requests from other peoples creditor meetings I get the feeling that sometimes these people want to actually punish the person for being naughty rather than come to a reasonable agreement.. Ooh, I'm in a right moody today, think waiting for my meeting date is doing my head in!! Mrs most definately Moody

Hi
Stick to your guns, as you have stated you have been very reasonable, have no assets to protect and could declare bankruptcy resulting in next to nothing for your creditors
Regards

Totally agree Andy.

Declare BR if you are not happy with the proposals.

Some of you will recall, when we were in IVA and struggling, creditors refused a reduced proposal, even they they still would have had over £500 a month. We told them we'd go BR if need be and stuck to our guns.

I would have preferred to have concluded the IVA but as the creditors couldn't see past their own greed hubby went BR.

I think a lot of it comes down to how your case is presented, so hopefully you have a better IP than hubby did. If you are having doubts and think BR is better suited for you, please think and maybe get a second opinion from another IP.