A little about me & my recent IVA journey

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Wizardswill

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Post by Wizardswill » Fri Dec 23, 2016 8:28 pm
I just wanted to share my recent journey on entering into an IVA.

Married, 3 children (1 newborn), previous jobs- bank manager, mortgage advisor & most recent mortgage manager.

Husband- good job sole trader, decided to go self employed Jan 2015.

Having started my working life in the banks credit was so easy to get, 0% staff overdrafts (whack it on for Xmas, pay off on Jan, never paid off) this continued & before I knew it I was taking a £10k loan to consolidate.

Husband never really fussed about credit, would only buy what he could when he could. However with an excellent credit rating before you know it I'm saying... if we take this out in your name you'll get the better %, do a balance transfer & clear mine off, pay £x per month & we will be debt free in X many years ! Sounded like an excellent plan ..... before you know it same conversation just 6 months later !

So 10 years down the line, SE income (new business) net profits nil
I'm on maternity with no plans to return, child care is a fortune.

So why the IVA ?

For years I have had excel spreadsheets, everything planned, new exactly what was where & when money was coming in.
Never struggled to make payments however when I look back basics such as food shopping was occasionally done on the credit card, extravagant shopping not in the world of trying to be money conscious!!

My wage comes in, hubby sends over £1k pm from business account, it'll be ok I thought business will pick up & he can pay more ...... everything seemed just fine that was until the accountant paid a visit.

That night I came home looked at my excel sheet, the one where I knew everything but really it was numbers, meant nothing.
£68k unsecured debt joint, mortgaged home but not a great deal of equity. It was only the day before I had transferred a balance, got my card to £0 then spent £60 on a new top ... honestly when was this going to stop!

I was numb, typed into google 'debt help'
Online chat box popped up & I started to open up, changed my name & age, didn't tell them the full amount, I was scared- scared of facing the financial truth. That was 26th Nov 2016.

22 December 2016 my creditors meeting took place & an absolutely fantastic company who I would 100% recommend have helped me immensely- McCambridge Duffy.

From that web chat I have had nothing but support, I spoke with Stepchange in the mean time for a second opinion but I didn't get the same feeling I did when I spoke with McD.
Everything ran smooth, I told them everything, my future plans, what I wanted to get out of the IVA, not once did I feel judged. I felt a great deal of understanding & knowledge.

So my journey begins however this is JUST the start, I need to learn how to spend, what we can afford & live within my means.

My IVA was for £35k hubby has kept the rest In his name as he didn't wish to enter into an IVA due to his job.
Payments where £735pm & now they are £135 first 3 months £0.
My IVA was 14p to the £1
Of all the creditors only 2 declined but luckily it was less than 25%.

So happy new year .... feel free to ask any questions .

If you are looking on here your looking for help, seek it, don't suffer in silence debt won't go away !

Foggy

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Post by Foggy » Fri Dec 23, 2016 8:55 pm
Welcome -- great opening post. Like you, when I first went into an IVA I was mortified when I finally put my debts in black and white and realise how much I was actually in the red!

Learning to budget takes a bit of getting used to with no magic plastic to fall back on. For the first few years, although I had a debit card, I dealt only in hard cash -- so I could, literally, see what was in the pot. It certainly helped me to actually visualise my spending. I also developed the royal habit of not carrying cash around with me --- so no impulse buys. On the weekly shop I took what I had in the weeks budget for shopping and that was all I could spend --- you get good at finding the bargains !

You have got off to a great start by enlisting the help of, in my opinion, one of the best firms in the industry. You will see by Michael Peoples posts on forum that they take a very realistic standpoint and are very mindful of the effects an IVA has on their clients.
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

Wizardswill

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Joined: Fri Dec 23, 2016 7:57 pm

Post by Wizardswill » Fri Dec 23, 2016 9:21 pm
Thank you Foggy for your comments.

Yes I agree I was very reluctant to enter into an IVA, my family & friends would be mortified if they knew. For now I will keep this to myself (& the forum!)

I will take on board what you said about cash- I go out & feel a panic when I'm putting the food in the trolley, scared I don't have enough in my basic bank account!

And I agree - no impulse buys, Christmas this year has been a different experience :o
But I'm refusing to spend money I don't have to try be part of 1 day a year.

I think I have come across some of your previous posts/blogs- I believe you are now IVA free ? Well done

Foggy

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Post by Foggy » Fri Dec 23, 2016 9:43 pm
Thank you. Yes, I am now (just) IVA free. My 6th anniversary was a few days ago and my CallCredit and Equifax reports are now all but clear, I have yet to check Experian. My journey was eventful and my new life totally different from the old one in every way, as well as financial.
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

luluj

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Post by luluj » Sat Dec 24, 2016 3:06 am
Your journey into an iva resembles mine and many others. Not an easy decision however for me and for many a good decision.

Have a great Christmas!
Sharing from experiences of dealing with debt

There is a solution for everyone .... Just need to stay positive !

Look at my blog "All I wanted was a baby"

Wizardswill

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Joined: Fri Dec 23, 2016 7:57 pm

Post by Wizardswill » Sat Dec 24, 2016 10:24 am
That's interesting Luluj as at times I have felt like the only person in the world going through this. I fall into a cycle of feeling down, spending to make me happy then back to square one !!

Have you finished your IVA now ?

luluj

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Post by luluj » Wed Dec 28, 2016 4:12 am
Yes our IVA ended in 2010 following receipt of some inheritance.
The last few years has seen us move into our own home and manage our living effectively, having learnt from the iva.
Our employment status changed from both earning around £30k each to just me earning and my husband going self employed as a gardener bringing in very varied amounts each month. Having lived to a budget in our iva I simply reverted to those tactics when our salary dropped - its not been easy and I sometimes feel it is not do-able, but cling onto lessons learnt in the iva.
We now have our mortgage which ends in 13 years time plus a car lease - we owe nothing to anyone. We have a credit card each but rarely use them and when we do it is paid off each month.
I have stayed on the forum so that others can learn from experience.
Sharing from experiences of dealing with debt

There is a solution for everyone .... Just need to stay positive !

Look at my blog "All I wanted was a baby"

watzki

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Post by watzki » Sun Jan 01, 2017 5:37 pm
Wizardswill your story is exactly the same as ours with the credit cards and consolidation loans,until one day it all went pear shaped as they say.
I wish I found this forum before I set out on the iva road but I didn't until five and a half years into it.
You will find a wealth of knowledge and some great advice on the ins and outs of how a iva runs and how it affects different people.
There WILL be low times but in my experience it does get a little easier as the years roll on.
We were on an iva for a total of 77 months and by the end of it we had the shopping budget down to about half of what we spent pre iva days.
Good luck and remember if you need to know anything there are experts who post on here to answer any queries you have
Today 1st of December 2016 the vultures finally flew away

SyuzVR

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Joined: Tue Apr 11, 2017 10:46 am

Post by SyuzVR » Tue Apr 11, 2017 10:50 am
Wow. It's just amazing. It was so interesting to read about your adventures.

EliasCal

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Joined: Wed May 30, 2018 10:01 am

Post by EliasCal » Thu Jun 07, 2018 1:07 pm
Thanks for sharing your experiences with IVA like this, Wizardswill. I love posts like yours. People can learn so much from real-life examples.
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