Three of my creditors have gone into administration within the last few weeks, would this affect my IVA in any way or do I continue paying the same amount?
I imagine your creditors may well have sold your debts on but you have no need to worry so carry on paying as usual.
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The Company in Administration will still rely on the claim - nothing has changed really except an Insolvency Practitioner firm is now handling the creditors affairs.
Even if they withdrew the claim your payments would stay the same but the rest of the creditors would benefit as the creditor total would reduce.
The only way your payments would decrease or stop is if you had a change in circumstances and the payments were varied, or you pay enough to clear the total debts, interest and costs in full o bring your IVA to an early end.
I'm assuming these are payday loan companies, Wonga wrote off a four figure debt during my IVA and it made no difference to it's running it just increased the dividend for the remaining creditors.
It's possible, but unlikely. When Curo Transatlantic recently went into administration, for example, most accounts were sold to Lantern or Shelby Finance, very few were written off.
Check who the IP handling the administration is and find their contact details online if you're not sure.
Chances are the administrator or the company who now owns the debt will be in touch with your IP very soon though, so I wouldn't let it worry you.
Hi! I used to work for one of the UK's biggest Insolvency Practitioners - I don't work for an IP anymore but still have an extensive knowledge of the IVA industry. How can I help?
