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Hi, what a great source of support and information this forum is - only wish I found this site months ago.

Last week at my third creditors meeting I had my IVA application rejected. Only one of my voting creditors, HSBC rejected my offer but because they made up 40% of the casting votes it was turned down. My only hope now is to start the whole process again, a prospect of which just fills me up with dread, the waiting over the past couple of months has been absolutely terrible. More stress, more sleepness nights. I am with Payplan and they have been absolutely great but the prospect and being rejected again is at time too much to handle. I don't want an IVA but the thought that creditor and debt collectors can make unreasonable demands and threating court action at any time makes me so frightened. If I carry on paying the debt management plan I have in place it will take me 11 years to pay off (currently paying over over 50% of my net salary)and living on next to nothing per month.

Hi Janey - what a disappointment for you. I cannot understand, though, why Payplan have submitted these proposals three times. Do you mean that they just adjourned the original meeting twice?

I assume that HSBC rejected your proposals because you were offering a dividend of less than 40p in the £. It is widely known that this is their minimum acceptance criteria, so I do wonder why the IVA was put forward in the first place.

Do you own any assets of material value? If not, then I suggest that you seriously consider bankruptcy proceedings. HSBC need to be taught a lesson, as their 40p minimum criteria is far in excess of the average IVA dividend return of approximately 32p on an aggregate national basis.

I wish you luck with your decision making, and although you are presently disappointed, I feel that if your IVA was based upon over 50% of your net salary, then you would eventually struggle to make the repayments in any case.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk