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Posted: Wed Mar 24, 2010 6:16 pm
by alistair.pr
I have been in an iva for 33 months and by the end I will of paid more back than my original debt! Also my credit rating before the iva was excellent and now it is as bad as if I had been de-cleared bankrupt. This can't be correct?
Posted: Wed Mar 24, 2010 6:25 pm
by MelanieGiles
Hi there and welcome to the forum
Why did you enter into an IVA in the first place?
Posted: Wed Mar 24, 2010 6:57 pm
by kallis3
I agree with Helen - if you were having problems, which you must have been, then an IVA is an excellent way to get back on track.
You will never pay back more than you originally owed, but of course you have to allow for IP fees as well. They are on top of your debt.
I'm afraid that you have to live with the fact that your credit rating will be shot for 6 years.
Posted: Wed Mar 24, 2010 7:09 pm
by alistair.pr
MelanieGiles wrote:
Hi there and welcome to the forum
Why did you enter into an IVA in the first place?
I entered into an iva due to my previous marriage breaking down and I had to take on the debt that was created from the fall out. It seemed like a good idea at the time.
Posted: Wed Mar 24, 2010 7:10 pm
by Shining
You can rebuild your credit rating evenutally and possibly saved money on interest in the lifetime of your IVA.
Posted: Wed Mar 24, 2010 7:13 pm
by alistair.pr
alistair.pr wrote:
I have been in an iva for 33 months and by the end I will of paid more back than my original debt! Also my credit rating before the iva was excellent and now it is as bad as if I had been de-cleared bankrupt. This can't be correct?
Thank you for replying on this forum, but I don't see that my iva is correct! I had a total of 28500 in debt and will have paid back 29566! I thought that with an iva it would reduce the total? Even a 25% decrease would only be about 22400?
Posted: Wed Mar 24, 2010 7:15 pm
by alistair.pr
alistair.pr wrote:
alistair.pr wrote:
I have been in an iva for 33 months and by the end I will of paid more back than my original debt! Also my credit rating before the iva was excellent and now it is as bad as if I had been de-cleared bankrupt. This can't be correct?
Thank you for replying on this forum, but I don't see that my iva is correct! I had a total of 28500 in debt and will have paid back 29566! I thought that with an iva it would reduce the total? Even a 25% decrease would only be about 22400?
Sorry I have only 3 months of my iva left having paid for 57 months!
Posted: Wed Mar 24, 2010 7:15 pm
by kallis3
You're over half way through now, and at the end will be debt free. You can also take satisfaction that you will have paid your creditors back in full, something that most of us on here won't be able to say.
If you'd have done a DMP you could have been paying it off forever, and I presume bankruptcy wasn't an option.
Posted: Wed Mar 24, 2010 7:16 pm
by Shining
You will pay all your debts in full if your disposable allows but think about all the interest you've saved and IP fees have to be paid as they're supervising your account to strict guidelines.
You don't necessarily have debt written off it would never have been a guarantee although that is how some companies advertise an IVA.
Posted: Wed Mar 24, 2010 7:19 pm
by kallis3
The extra will be fees.
As Lesley says, your interest will have been frozen.
Posted: Wed Mar 24, 2010 7:21 pm
by alistair.pr
kallis3 wrote:
You're over half way through now, and at the end will be debt free. You can also take satisfaction that you will have paid your creditors back in full, something that most of us on here won't be able to say.
If you'd have done a DMP you could have been paying it off forever, and I presume bankruptcy wasn't an option.
DMP? What is that abbreviation. There was no need for bankruptcy as I was well off financially and really didn't need the iva. But was almost pushed into it with alot of bull!
Posted: Wed Mar 24, 2010 7:24 pm
by kallis3
A DMP is a debt management plan, whereby you pay off your creditors in full, but there is no guarantee that interest and charges will be frozen and they can take years and years to pay off.
If you were able to make your repayments, I don't see why you would have considered any sort of debt management at all.
What company are you with.
Posted: Wed Mar 24, 2010 7:25 pm
by alistair.pr
kallis3 wrote:
The extra will be fees.
As Lesley says, your interest will have been frozen.
I know my interest was frozen and I fully understand the fees ( you don't get something for nothing! )however I would of been able to pay back the debts by now anyway if I was paying the amount I am currently paying per month! Does this sound like I have been dealt with incorrectly?
Posted: Wed Mar 24, 2010 7:26 pm
by alistair.pr
alistair.pr wrote:
kallis3 wrote:
The extra will be fees.
As Lesley says, your interest will have been frozen.
I know my interest was frozen and I fully understand the fees ( you don't get something for nothing! )however I would of been able to pay back the debts by now anyway if I was paying the amount I am currently paying per month! Does this sound like I have been dealt with incorrectly?
I was with Accuma but they changed into Grant Thornton overnight without telling me.
Posted: Wed Mar 24, 2010 7:44 pm
by kallis3
I believe that Accuma were taken over by GT, but normally you would have been advised of this, even if it was only at your annual review.
If you are concerned that you should not have been offered an IVA, you can always complain to the IP company.
You can contact your IP direct via this link:
http://www.insolvency-service.co.uk/newipsearch.htm
I'm hoping one of the professionals will be along later to advise further.