In 2012 me and my wife took out a iva together to consolidate credit cards ect... I paid £150 a month for 4.5 years of a 5 year iva. After 4 years I whent self employed as a Mobile mechanic. When I told the iva firm of my change they asked me for proof of earnings, unfortunately I didnt have a accountant and they wouldnt accept my work diary as proof so they terminated my iva with just 6 months remaining. And told me all the money I'd been paying was just their interest so non of my debts had been paid or contributed to. I've heard nothing since 2016 untill today I had a letter from one of the creditors saying because my iva failed they now want their £5000 pounds. Surely this isnt right or fair? Please someone advice me on what I can do. I've been signed off work for tbe last nearly 2 years due to a back injury and being diagnosed with severe PTSD.
Sorry to hear of your problems. Unfortunately your creditors can chase you for the debts. All the money you paid would not all have gone to them, some would have gone to your creditors and the rest to your fees. It does seem a bit unfair that they terminated it when you were so close to the end.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
That seems a bit harsh -- do you mind sharing who the firm was ?
To be fair, on the failure of the IVA, you ought to have contacted your creditors to arrange a repayment plan. Although it seems unfair you do need to address the issue. I would suggest a chat with a more sympathetic IVA provider and see if a new arrangement can be brokered. Failing that, maybe a DMP: https://www.iva.co.uk/debt-management-plan
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