www.iva.co.uk

Hi, I'm hoping you can help. My wife and I have around 60k of unsecured debts to about 12 creditors, are in negative equity on our house and are really struggling now. My wife goes back to work part time in September after being on maternity leave (which has really made us go under!) but with childcare costs etc we really need some help. We will bring home 3000 per month between us. Is an IVA feasible for us?

Thanks for your help in advance!

I

An IVA may be feasible for you, do you know reoughly how much you could afford to pay each month towards your debts, after you've allowed for all your living costs ? You will have to work out how much the childcare will cost and add that to what you're spending now.

Hi Ians and welcome to the forum.
It sounds as if an iva may well be a feasible solution for you. The best thing to do is to have a chat with an insolvency practioner, who will be able to give you advice on all of the solutions that would be suitable for you.
I would like to say all of the Ip's that post on this site come well recommended, Melanie Giles, Ian millington and Philip Beck.You can get details on the experts page. Also you can get reviews of all the companies and IP's on iva.com .
No worry there is always a solution and you are half way there by realising you need one.
Alll the best

Ang.

Sorry Philip posted the same time.

Ang

Hi and thanks so much for your quick replies!

VERY roughly, without looking properly at figures, I'd say we'd be able to repay around 1000 to 1200 per month.

I

Remember to make sure when working out income and expenditure, that you allow for all your family needs right down to pets, insurances, dentist prescriptions. I know you have only done it roughly but when all is taken into account you will have a better idea of your disposable income.

Ang

Good grief-it just goes to show how this is stressing me out-I didn't even factor our mortgage into that estimate!

I'll try again-we could repay between 250 and 300 ish I think!

I

lol I thought you had rather a large amount of disposable. Remember that it also will increase when your wife goes back to work. Remember to mention this when discussing with an IP.
Try not to stress. There is a lot to take in when initially looking for a solution. Just take your time, ask every question that comes into your head, I used to write them down as I always forgot things when on the phone so I had a trusty list at my side. Still do even now when I ring my company about anything.

Ang

Ian

Don't forget, you have to factor in things like child benefit and tax credits (have you applied for those ? They can make quite a difference).

Take your time and work out your budget carefully, if you need, I can email you a budget spreadsheet where you just slot the figures in and it automatically works out how much you have left over each month.

Given the figures you have presented, it would seem that an IVA could well be a sensible way forward for you to consider, but with negative equity in your property, unless you have other assets which would be affected, bankruptcy proceedings are also an option.

If you feel obliged to repay your creditors as much as you can reasonably afford, the IVA route may well be the preferred option - but do keep sight of the others before you make a final decision.

Thanks again all,

Pbeck-Yes we have factored in child benefit and child tax credit and I think i'm still in the right ball-park with 300 per month disposable.

Melanie-Thanks for the advice. My wife's a teacher and bancruptcy scares her to death as she feels the staff and pupils may well find out. Also, excuse me being dim, but would bancruptcy appear onan enhanced crb check? I'm hoping not but feel I need to make sure.

Thanks again
I

Please check out www.iva.com to choose someone who will look after you x

Bankruptcy would appear in the local newspaper in the public notices advertisements, so yes, it is easily possible for them to find out.

I have to confess I don't know anything about crb checks, but I thought it was to do with convictions or police cautions, as bankruptcy is not a criminal or police matter I don't think it would appear there.

I do a lot of work with teachers, and I can understand your wife's concerns working in the public community.

A CRB check has nothing to do with your financial situation, but it would seem sensible to have a chat with an insolvency practitioner about the possibility of an IVA, given your concerns about the alternatives.

Be carefull when working out your expenditure. What you spend on something may be considered too much by your creditors, although this should be highlighted by your IP.

When i started setting up my IVA i estimated £500 disposable but when i got my proposal it was for £750.

Things like phone,mobile and internet add up to about £85 for both me and my Oh but my IP says the max for a couple is about £60 i think 0r £55. Just highlighting that what you think you have left at the end of the month may be alot more than you had hoped. #

Regards Steve