Can creditors make me bankrupt because of failed IVA?

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valerie443
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by valerie443 » Mon Apr 16, 2018 12:33 pm
I have failed my iva due to being out of work and could not afford my payments , I'm worried my creditors will make me go bankrupt before I get chance to explain my situation, can they do this?
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valerie443
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by valerie443 » Mon Apr 16, 2018 12:56 pm
hi can anyone answer my question please I'm running out of time thank you :(
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Foggy
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by Foggy » Mon Apr 16, 2018 1:16 pm
They are free to petition for bankruptcy if they so choose, but they also have other avenues open to them as they see fit, BR is not a foregone conclusion.
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by Foggy » Mon Apr 16, 2018 1:18 pm
Has the IVA actually been failed, or are you starting the process ? Would a payment break be a possible option instead of throwing in the towel right away ?
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kallis3
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by kallis3 » Mon Apr 16, 2018 1:29 pm
Agree with Foggy - can you give us some more details please?
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Lisa Thomas
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by Lisa Thomas » Mon Apr 16, 2018 2:25 pm
They can if they are owed over £5k (or they club together to issue a joint petition with other creditors to make up the minimum amount of £5k) however that doesn't mean they will as it will cost them to make you Bankrupt and they might not get that money back.

The simplest initial recovery process is for creditors to get a CCJ then either apply for security against your property or send in Bailiffs.
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Lisa Thomas
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by Lisa Thomas » Mon Apr 16, 2018 2:25 pm
Has your IVA definitely failed yet? Have you spoken to your IP to agree a variation or a break instead?
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kallis3
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by kallis3 » Mon Apr 16, 2018 2:54 pm
Do you have any assets?
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valerie443
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by valerie443 » Mon Apr 16, 2018 9:50 pm
Lisa Thomas wrote:
Has your IVA definitely failed yet? Have you spoken to your IP to agree a variation or a break instead?

yes it has failed
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valerie443
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by valerie443 » Tue Apr 17, 2018 8:30 am
Lisa Thomas wrote:
They can if they are owed over £5k (or they club together to issue a joint petition with other creditors to make up the minimum amount of £5k) however that doesn't mean they will as it will cost them to make you Bankrupt and they might not get that money back.

The simplest initial recovery process is for creditors to get a CCJ then either apply for security against your property or send in Bailiffs.

Hi , lisa , I'm in a real mess really , hard to explain to get someone to understand me really , but here goes ..... I know its my fault ok , i have never been good with money , i never check on my bank account , i never read mail , stupid i know anfd I'm learning from this real fast , i took out an iva and was doing well to start with , then it all went wrong , let me explain , i came of work 6 weeks ago with a lung infection , i was really ill , i was on sick pay , prior to that my bank sent me a new bank card , me not realising i needed to let iva know because of security number on it , and expire date on old one , again my fault ,,, in the 6 weeks i was of i lost my phone , , so iva could not contact me , i didn't think about it at the time , stupid , so really i just carried on as normal thinking all was ok as i didn't get no letters from the iva , until they told me it was being cancelled , which by that time i was to late , when i got in touch , it was all ready cancelled , they said it ended on the 30th of last month and sent paperwork out to me which i did not receive , still not , so basically that's it , I'm back to square one , and really worried ,,,,,,,,,,,, i know now and learnt my lesson , ,,, but still worried its to late , i asked if i could reinstate with them , but got no reply , i explained every thing to them , then i got back , we don't act for you know more i need to get in touch with my creditors , i begged and pleaded with them to help me , but got no joy , it was a mistake on my part i know ,,,,,, I'm still waiting for my paper work as i cant get in touch with my creditors until they do ,, which worrys me in case they make me go bankrupt thinking I'm ignoring them ,,,,, no i don't have assets just own a car to et to work thanks , , PLEASE HELP DONT KNOW WERE TO TURN , , ,,,,, THANKS FOR ALL OTHER REPLYS FROM EVERYONE
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Lisa Thomas
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by Lisa Thomas » Tue Apr 17, 2018 8:35 am
Hi Valerie

Bankruptcy may actually be the right move for you. Is there any particular reason you want to avoid it?
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Lisa Thomas
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by Lisa Thomas » Tue Apr 17, 2018 8:35 am
How much do you owe creditors and are any of them owed over £5k?
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Foggy
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by Foggy » Tue Apr 17, 2018 8:39 am
Valerie, are you back in work now ? I would suggest a chat with a more helpful company (who were you with ?). They may see about starting another IVA or other solution, depending on what is best for your situation.
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Foggy
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by Foggy » Tue Apr 17, 2018 8:40 am
Lisa Thomas wrote:
Hi Valerie

Bankruptcy may actually be the right move for you. Is there any particular reason you want to avoid it?



Or a DRO if you fit the criteria.
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valerie443
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by valerie443 » Tue Apr 17, 2018 9:07 am
Lisa Thomas wrote:
Hi Valerie

Bankruptcy may actually be the right move for you. Is there any particular reason you want to avoid it?

Yes I cant afford to lose my car lisa , otherwise I wont be able to get to work , thank you for your help
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