www.iva.co.uk

Hi all,
Im am after a bit of advice really. I am currently in a IVA and have been since March 2009. Over the last couple of months i have lost hours on my main job and lost my second job completely. My Ip has granted a payment break for November and i currently have some interviews coming up to increase my hours onto of what i have at the mo. I have to phone my IVA company when i know what is happening in terms of interviews and whether i have the new hours or not.
After having a serious heart to heart with my parents they have given me their support to go bankrupt if the interviews dont work out. I know i have to let my IVA fail and that means missing 3 months of payments. Does this include the November payment which is a payment break therefore i could go BR in FEB or would it be March?
Also what kind of paperwork does the OR look at, is it the same as for my IVA or is it just payslips etc. I am a single mum and live in rented accomodtion and i get tax credits. Will i have to pay the full amount to go BR or is there a reduction? I have read this somewhere but don't know if it applies.
Also if once i go BR i then am fortunate to increase income does this get reviewed by the OR?

Sorry for the long post just got all these questions going round in my head.

Thanks Sarah

Hi,

Sorry to hear about the job loss and the hours as well.

Dependent upon what happens with your interviews, bankruptcy does sound as though it could be an option. I think your three missed payments wouldn't include November, but you could always ask your IP if they could include it. What you would have been paying across can be saved for the fees. As you are working, I doubt you can get a reduction. It's only for people on benefits.

The OR will require the same information as the IP did so you will need details of your debts to give them. You may have to pay money across for 3 years if your disposable income is higher than £99 a month and you would be paying between 50 and 70% of that across.

If your wages go up, you would have to inform the OR and your payments would probably increase.

If you have no intention of paying any more payments into the IVA, and have decided that bankruptcy is the best option, you could write to your IP to confirm your intentions and they could accelerate the failure process. No point in waiting three months for either side if your mind is made up.

I havent made up my mind yet totally sat in the middle on it. My iva company know that i am considering bankruptcy and said i should contact them again when i know the outcome of the interviews.
I appreciate my situation is of my own doing but i am totally sick of struggling. The bank of mum and dad are constantly buying me food and paying for my son to do things because i can't afford it. I feel like a complete failure as a mother cause i can't provide for him.

im just sick of it.

If you cannot manage with your IVA, then BR is something to seriously consider. You have done your best but you should not be struggling like this.

BR sounds like a good option to me.

If you are continually relying upon parental support to fund your IVA payments, they are simply too high. Consider asking for them to be reduced to a more affordable level, and then weigh up this against the bankruptcy option. Your IP ought to be able to help you to arrive at the right decision.

thankyou guys.

my iva payment is £197 , when my iva was put together i was told that that was the min it could be.

i gonna wait and see what happens with the interviews. i have potentially 3 in the pipeline. i suppose also i dont want to accept more hours to the point where more money is coming in but it just all goes into the iva and im not benefitting from it.