Hugely Embarrassing Request for Advice

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Lisa.53

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Post by Lisa.53 » Mon Dec 02, 2019 11:28 am
Hi all, it is with massive regret and embarrassment that I find myself re-visiting this forum to ask fellow members for advice. This is going to be a long one so bear with me please........

6.5 years ago I entered an IVA due to debts which had built up over gambling due to a poor mental state that left me desperate to find a way out. I settled my IVA with a full and final 4 years ago but since then I have racked up debt again and over the past 6-12 months have rather pathetically tried to gamble my way out of it following the breakdown of my relationship and panic over how I was going to get out of this mess, and quite obviously I have made things a million times worse as I know that gambling is not the answer! (yep I know, the sensible part of my brain has obviously completely exploded!) I have taken all steps to stop the gambling and my relationship is now back on track and I am happy with all that apart from the fact that I now find myself completely unable to pay my debts and it is destroying me mentally... I can't function at work, my partner is SO supportive but I know I am not being fair to him as I'm miserable when I think about money or panic about making my next payments. My loans have high interest and my credit cards carry interest rates approx 37% so I simply cant pay this off. If I wasn't paying the interest I may have a fighting chance of doing this but alas due to a poor credit rating (again) I cannot find more attractive rates. SO anyway, that is the background of my debt but more about me is that I am a qualified accountant with a practising certificate and having already had an IVA my many questions are....
1... Would I be considered for a 2nd IVA having already had one for the exact same reasons
2... MOST IMPORTANTLY.... Does anyone by any miracle have experience of how ICAEW and ACCA would view entering an IVA for a 2nd time if this is possible? (I can't lose my membership as I would lose my job as a result and this would render me completely unable to pay ANY of my debt off and would also result in me probably losing my house etc) I had to advise them when I entered the IVA last time (I am a member of ACCA who were fine about it but I don;t know if they would be a 2nd time) and ICAEW fined me - as I am a named "responsible individual for audit purposes" with my employer so am also regulated by them)
3....I have a large loan with a family member that I am currently repaying and I REALLY do not want this family member to know about my issues (it is my dad and I really don't think he would understand or accept me getting into the mess I have again - in fact I know he wouldn't and he's the only family I have) - does anyone know if this debt can be excluded from an IVA and I can continue to repay this as I am or is this seen as preferential and therefore not allowed?
4....any recommendations on the best and fairest IVA companies to approach for advice, I was previously under the care of Melanie Giles and she and her team were absolutely AMAZING but I very much doubt they would want to take me on as a client again after making the mess I did again this time.
5... I have a government loan on my property and only about £20k of equity in the property once this loan and the mortgage are deducted from the value - what would this mean? ( I cannot get a secured loan as the government loan would need to be paid off first before any of the additional monies released and this would result in too high of a LTV ratio I believe - I have made enquiries previously before my debt increased to the level it has)

My apologies for such a long post but I know you have been so helpful in the past and I am really hoping someone can maybe give me a little bit of advice regarding my pitiful situation and what my options could be (IF ANY!?!)

Many thanks to you all if you've got this far in reading my essay!!

Foggy

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Post by Foggy » Mon Dec 02, 2019 11:43 am
1) & 2) have basically the same answer: You can apply for a 2nd IVA, but the responses you get from both creditors and your governing professional bodies will depend entirely on your explanation and their sympathies -- I am afraid there is no easy answer there!
3) The family loan, if declared, would have to be included. You cannot pick and choose. You could decide to keep it quiet (risky, but possible) but you would have to fund the repayments out of your agreed allowances --- you will not be allowed an expense allowance to fund this loan ---- obviously, yo ask for one would require that the loan be disclosed, in which case it would have to be included along with other creditors.
4) I am not sure that Mel is taking on IVA clients any more, but would be sympathetic, if she is. You are going to need a company that will fight your corner, so I would avoid the "IVA factories".
5) The inability to remortgage or raise a secured loan at the outset can be offset, by sympathetic IP and creditors, by proposing the falback 12 month extension is applied from the start (so a 72 month standard term) and the house be excluded. This, again, will require an IP in your corner.

Finally --- is an IVA the way to go, in view of the possible comeback and effect on employment ? Have you looked at a debt management plan with a firm like StepChange? It could last a long time, but will hopefully allow interest to be frozen and payments to be reduced to a managable level. Maybe even a year on a DMP would strengthen your arguements and prove a period gambling free for a future IVA.
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

Lisa.53

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Post by Lisa.53 » Mon Dec 02, 2019 11:52 am
https://www.accaglobal.com/content/dam/ ... s-2013.pdf just a little further information.... ACCA consider each case on their own merits regarding discliplinary or exclusion from membership (which would then affect my job and income) and this is what they say so I am guessing it is very likely I will lose my membership given that my debts have been as a result of reckless actions...... I guess that is me completely stuck in this situation I can't get out of. Seems sad in a way that I want to do my very best to repay my debts as they are mine but yet if I lose my membership, I lose my job, therefore lose my income and therefore will be in a position where I actually can't pay anything back :(
What a royal mess I have got myself into again! :cry:

Lisa.53

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Post by Lisa.53 » Mon Dec 02, 2019 12:00 pm
Thank you Foggy, i knew you would be helpful, you always have been in the past so I am grateful you are still here! Sadly it sounds like an IVA isn't going to be a great option for me or one that my creditors or governing bodies would accept given the reckless nature of how the debt has arisen, I also completely understand the family debt can't be excluded but it is a large monthly payment so I doubt my allowances in an IVA would cover those repayments. I wondered about the DMP but I feared with my borrowings as high as they are that even that wouldn't be acceptable or make a dent in anything. My debt (without the family loan) is approx £55k :cry: I really don't know how on earth I am going to manage this mess this time around.

kallis3

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Post by kallis3 » Mon Dec 02, 2019 1:16 pm
We took out a DMP initially with a debt of £80k plus our mortgage and a secured loan and then went to an IVA.

You will need to prove that you have stopped gambling - take yourself off any online gambling sites to prove that you have done something about it. Speak to a few companies and get advice from them.

I'm not sure if Mel is taking on any clients as she sold most of her portfolio to Creditfix.

Hope you can sort something out but I'm afraid your family debt will have to be included.
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

Lisa.53

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Post by Lisa.53 » Mon Dec 02, 2019 10:50 pm
Are you able to recommend any really good IPs? I don’t know which companies are the “factories” 😕

Foggy

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Post by Foggy » Tue Dec 03, 2019 7:47 am
Mon Dec 02, 2019 10:50 pmLisa.53 wrote:
Are you able to recommend any really good IPs? I don’t know which companies are the “factories” 😕
The "factories" are the large firms who deal with thousands of clients at a time -- they work for some, but, if there is a problem, the support is variable and thin on the ground. Personally I prefer small to medium sized firms like Cambridge McDuffy, who have a good reputation for client care. We also have an IP who regularly posts on the forum, helping clients and non-clients alike, Lisa Thomas from Neville and Co. I would suggest you chat to a couple of firms to discuss options, to see who you get on with. Finally, you could try the number on the top of the page and have a word with Keith White, who also comes highly recommended.
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

Lisa Thomas

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Post by Lisa Thomas » Tue Dec 03, 2019 9:49 am
It might be worth you having an anonymous chat with ACCA to get a feel for what their stance might be in the circumstances.

Mel has left the firm but there are 2 partners left in the practice who took over- I am not sure if they deal with IVAs. Their contact details are here:

http://www.jonesgilesclay.co.uk/

I'd be happy to have a chat.
I'm a licensed IP with 16+ yrs at Neville & Co covering the South West area. I have a YouTube channel with advisory videos on here: https://www.youtube.com/channel/UCMPTTu ... Z5k9ZcC2MA http://www.nevilleco.co.uk 01752 786800 Lisa@nevilleco.co.uk

luluj

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Post by luluj » Tue Dec 03, 2019 11:37 pm
I have little to add from what advice has already been given other than to say you are not alone in getting into debt for a second time and you won't be the last I am sure.

You have the added pressure of your employment issues and memberships etc ... I think if it were me, I would try for a DMP for now to buy a little breathing space so you can take time in sourcing the right outcome.

The support of your partner is great, and with them standing by you, I sincerely hope you are able to find a solution xx
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"
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