www.iva.co.uk

Received a letter today that MBNA one of the creditors in the IVA is transferring the debt to an external company (Arrow Global).

I have sent a copy of the letter to the IVA company to ask them to liaise with them however is there anything we should watch for ? I assume we're now going to be plagued with annoying calls from them ?

1. I presume they are bound by terms of the IVA agreement and must liaise with IVA firm (McCambridge Duffy) direct and not allowed to contact us regarding the debt ?

2. are MBNA allowed to sell the debt on at this stage ?

Regards
LS

MBNA are allowed to sell the debt at any stage and there is a good chance that Arrow don't even know it is in an IVA. They might contact you in due course and, if they do, just pass the letter on to your IP to put them right.

Don't worry, they are also bound by the IVA.

Keep the letter handy for later on when you are clearing up your credit files!!

Paul

All of my debts were sold on - mostly to Max Recovery and we never had any problems at all apart from the obligatory statement every twelve months.

Even though it's nearly two years on though, I still have all of the paperwork to do with the IVA.

I retained my paperwork too for now and unsure how long I will continue to do so but just in case for now it's filed safely away.

Hang on to the letter for reference x

My paperwork is in a box file where it will probably remain until I am in my own box file

This is very common and usually the creditor will inform you of the sale of the debt for information purposes only. However sometimes the debt purchaser may not know about the IVA but they are bound. You can forward the letters to us and we will deal with them or send a copy of the Chairman's Report to Arrow which will give them all the information they need.

Thanks Michael,

I sent copy of letter via email and got a reply saying that as MBNA are the ones who filed the claim settlement/dividend will be made with them, also that MCD have written to arrow to let them know this.

I checked our credit files yesterday and arrow is now on there for the full amount showing as defaulted from date of entering the IVA, so I hope they're going to remove their entry once they get the letter from MCD, I will check again in a month, I might even send them a letter too telling them to remove their entries - do you think I need to ?

Great that you guys answer questions so quickly

longslog I am not bothering clearing up our files until I have our CC as they can just default a month later and you are back to square one, once your IVA is complete then is the time to get everyone to remove any incorrect entries, otherwise you could spoend your whole IVA getting stuff removed for it to appear again.

Longslog -- as long as the default from Arrow is dated, as you say, the start date of your IVA, let it sit there and it will disappear with the rest on the 6th anniversary. With the IVA itself sitting there, with all the other defaults, it makes no difference, apart from giving you an ulcer if you stress about it.