www.iva.co.uk

this might sound like a silly question but am i less likely to get accepted for an iva because im not a homeowner?i have no assets and am worried creditors might just think be easier to go down bankruptcy route thinking i have nothing to lose, also worried that for my personal statement i have no reason for my debt other than stupidity and greed. I am £17000 in debt and after paying minimum payments each month plus rent,food and bills am left with nothing

Hi,

You need to take advice from a few IP firms, the advice is normally free and in confidence and they will be able to advise you fully of your situation.

An IVA is all about disposable income after priority bills have been paid, If assests are available to give your creditors a better return then they will be taken into account, but its not a pre-requisite as far as I know.

contact a few of the firms that post on this forum for some advise.

I don't think that should be an issue. I am not a homeowner either and when I spoke to my insolvency manager last week and we went through my figures, I was left reassured that my proposal, when it does get put forward, has a good chance of being accepted.

The fact that you have no significant assets makes bankruptcy more attractive for you and not your creditors. Bankruptcy is there for the proptection of people in financial trouble and is not a punishment. You mention in another post that you are expecting a child and it may be that bankruptcy will be the best option for you and your child. Do not be afraid of contacting an IP firm and unless your job would be lost it does not appear that you have anything to fear from bankruptcy.

IVAs are approved on a whole range of criteria and proposals are based on your own circumstances. The best thing you can do is to seek advice and guidance on what is the best option for you based on the individual details of your situation. It is important you know about all the options available to you and have a realistic budget in place - that way you can make the right choice for you.
Regards,

Bankruptcy is the option of last resort for most creditors, and they will be pleased that you are making efforts to try and repay your debts to the best of your ability via either an IVA or a DMP.

Good luck with your application - do you know when the IVA is likely to be proposed?

I would not worry to much about your background statement either, most will admit being stupid in hindsight or we would not be here, just be honest. I sat for about an hour thinking about how we got in this position before putting anything down, I could easily have just put " I have been a total idiot" But thought better of it

Just be totally honest when you put down why you are in debt. Our loans were for such things as new cars, exotic holidays and expensive furniture. I was so embarrassed putting it down.

The IP's and the creditors are used to reading such things.

I certainly wouldn't feel awkward about writing a personal statement. We were more than 5 times more stupid than you!! I am sure that they have heard everything before and I actually wonder how much notice creditors take of it - I'm sure they just look at the pence in the pound return! Be honest and you'll be fine.

hi pleaase dont feel guilty about how you got into debt all of us are in the same boat im the same as kallis as to why we got in debt now i know better and wont let it happen again after our iva but please get help you will feel better for it

I am not a home owner and got accpeted for IVA.

And do not feel guilty about how the debt was arrived at, in my case i left university with 20K of debt and this waas before the exisistance of studnent loans, i didnt get nay support grant and had to find a way to fund the studies.

An IVA is all about disposable income and how much you can afford to pay, not whether you own bricks and mortar.

A good IP will sort all this out for you.