A complicated one….

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chartstuff

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Post by chartstuff » Fri Jun 11, 2021 10:52 am
A complicated one. My wife and I both applied for an IVA, my application worked, hers didn't - which meant in effect that my IVA was untenable from day one. In the end we sold our property and my wife's debts (outside of IVA process) were reclaimed by her creditors from the sale of the house. I entered the IVA in 2018 and just over a year later it was discharged (at the point the house was sold)
At this point the IP instructed me to issue my creditors with a chance to request a 'proof of debt'. (I may have the terminology wrong). Only HMRC replied to this within the deadline, no other creditors did. So the additional funds I expected to be taken from my share of the house sale by my other creditors never were.
Roll on to the present. I know my credit rating won't begin to clear until 2024. However, looking at my latest credit report, of these other creditors (the ones which didn't reply to the proof of debt process) all show defaults, but only some show values of zero, others show the original amounts at the point of default. Am I still in danger here? What will happen in 2024? Can the creditors jump back and try to claim these outstanding amounts? Or has the discharge of the IVA prevented this from happening. Will my credit score still be adversely affected after 2024? With Best Regards

Foggy

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Post by Foggy » Fri Jun 11, 2021 11:53 am
I am assuming the IA was discharged successfully, in which case the creditors have had their chance and can no longer pursue the debts.

Defaults should have a 'default date' of around the start of the IVA, so that they drop off the credit files at the 6 year mark. If they haven't you can get this corrected --- have a read here: https://www.iva.co.uk/what-does-an-iva- ... dit-record

As regards to amounts shown ion defaulted accounts, this is of no relevance as creditors treat defaulted accounts differently -- some deduct IVA payments, some show zero and some leave it as whatever it was when defaulted. It matters not, as, whatever it says will disappear with the default.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
http://foggy.blogs.iva.co.uk
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