www.iva.co.uk

Hi, I am considering starting an iva because my debt management plan will run for approx 23 years!!! My queries are why do I keep reading about british gas closing accounts when in iva?? I am with them for gas and electric and have payment plan to pay off past bills. My hubby gets paid weekly and can earn upto an extra 100 ot per week but this isnt guaranteed so how would this be sorted?? Thanks Sarah

Hi, and welcome to the forum.

A DMP running for that long is ridiculous.

British Gas do close accounts and then open you a new account.

I think you should seek advice from www.iva.com for a list of companies and reviews.

Hi Sarah and welcome to the forum, Jan provides an invaluable link there and as your DMP is to run for so long an IVA could be a solution for you, talk to 2 or 3 companies to ensure impartial advice.

British Gas do indeed appear to close accounts down but give you have another immediately so try not to worry about that part. x

Hi
Did your debt management company discuss the IVA option with you when you first contacted them ?
Regards

Clearly 23 years is not a realistic timescale for repaying your debts so you need to look at other options.

An IVA may be an option and your husband's income would be calculated on what is guaranteed and not potential. Any income over and above the amount stated would be treated under overtime rules and he can keep at least 50%. This gives an incentive for him to do some extra work without having to commit himself to five years of very long weeks.

Hi Priddy, don't worry you would not be expected to live without gas, many clients are Bgas customers going into an IVA.

The best thing you can do is to contact 2 or 3 companies to discuss your situation in more detail and to understand the options available to you. There are many good companies highly recommended on here and Jan provides a good link to read customer reviews.

Glad you found the forum so you can get plenty of support and help along the way.

Regards,

do BGas close customer accounts if they are in arrears only with them as a current utility provider once a customer goes into an IVA? I was not aware of that!

There does not seem to be a huge consistency with utilities. In fairness to BG they seem to try and help those who enter insolvency and are supposed to take a reading at the time of the meeting. Any arrears are then introduced into the IVA and the client is then given a new contract at favourable rates provided they pay in future by direct debit. This means clients no longer have to use prepay meters where the unit charge is higher to pay off previous arrears.

They do not close the account and tell the client to go elsewhere but instead allocate a new number and treat the client as a new subsciber. The old number and debt are included in the IVA and the client can restart. I hope this makes sense.

I think it is totally wrong though that they will close accounts and open a new one even if you're not in arrears with them.

We were in credit with them by over £250 and they opened us another account with less favourable terms, we changed supplier...

Don't blame you - it's bad when they do that.