just paid my final payment after 5 long years

Get expert opinion. This is the place for new questions to be posted.
15 posts Page 1 of 1
 
 

whem

User avatar
Posts: 35
Joined: Fri Jan 18, 2008 11:30 pm
Location:

Post by whem » Thu Jul 01, 2010 9:35 pm
i have just paid my final payment after 5 long years, as i breath a sigh of relief of not having to pay 602 a month any more. it is time for me to get a new car as i can afford to with a small loan of 200 a month and for the first time in years i can save, which is something i wish i could do as the thought of another loan makes me feel nervous, although circumstances leave me without an option. a long winded approach to a simple question as i have made my last payment, am i breaking any rules as my iva i suspect is not closed- my bank has offered me a loan for the car. thank you
26/60
 
 

kallis3

User avatar
Forum Expert
Posts: 77170
Joined: Mon Mar 17, 2008 4:02 pm
Location: United Kingdom

Post by kallis3 » Thu Jul 01, 2010 9:49 pm
Hi, and well done for finishing.

I think you should be ok, but hopefully one of the experts can help out with this.
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
 
 

Adam Davies

User avatar
Posts: 14596
Joined: Thu Mar 29, 2007 12:21 pm
Location:

Post by Adam Davies » Thu Jul 01, 2010 10:11 pm
Hi
Great news and well done.
Just make sure that your IVA is completed and your name off the Insolvency Register before you sign the loan agreement.
Enjoy your debt free future
Regards
Andam Davies
 
 

size5

User avatar
Industry Expert
Posts: 3104
Joined: Fri Nov 23, 2007 7:22 pm

Post by size5 » Fri Jul 02, 2010 12:13 am
My heart sinks a little when I read posts of this nature. Whilst I am delighted that you have completed your journey, and I am happy for you that your bank thinks so much of you that it is prepared to offer what you describe as a small loan repayable at £200 per month, which if it is a small loan as you describe is presumably for a reasonably priced car, why can you not just put the £602 per month that you are no longer paying away for 5 months, buy a £3k car for cash, not pay any interest on a loan and then after that do as you please with no debt at all with the potential to save upwards of £6k per year or more?

You must do as you see fit of course, and I do wish you the best in whatever course of action you decide to follow, but taking any loan at this point, even if the bank actually follow through with their offer, which is highly unlikely in my opinion, is very much the thin end of the wedge.

Regards.
Cert DR
23+ years in debt advice
I do not post for anyone other than myself

Follow my tweets at http://twitter.com/debtmastersize5
 
 

rayb

User avatar
Posts: 1288
Joined: Wed Dec 12, 2007 11:15 am
Location: United Kingdom

Post by rayb » Fri Jul 02, 2010 9:14 am
Well done Whem on reaching the finishing line.

As the others have said I can only agree and it makes more sense just to save for a little while and pay for the car outright.
 
 

Shining

User avatar
Posts: 27019
Joined: Thu Sep 20, 2007 8:57 am
Location:

Post by Shining » Fri Jul 02, 2010 9:14 am
Congratulations on completing your IVA x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
 
 

Michael Peoples

User avatar
Industry Expert
Posts: 15189
Joined: Mon Nov 03, 2008 12:36 pm
Location:

Post by Michael Peoples » Fri Jul 02, 2010 9:18 am
Congratulations from me too and if the loan goes ahead you will have taken steps to improve and rebuild your credit history. Your IP should have no problem but because the IVA is not completed it would be worth asking for their permission which I am sure will be given immediately.
Michael Peoples | McCambridge Duffy Insolvency Practitioners
http://www.mccambridgeduffy.com
If you would like to talk to me about proposing an IVA or have any questions at all please visit www.mccambridgeduffy.com
 
 

flow13

User avatar
Posts: 1132
Joined: Sat Jul 19, 2008 8:46 pm
Location: United Kingdom

Post by flow13 » Fri Jul 02, 2010 9:58 am
Congratulations. x
Its now time to start living and to make some some wonderful memories!
Read my blog at http://flow13.blogs.iva.co.uk/ 'Aiming for the finish line'
 
 

Sinking Fast

User avatar
Posts: 541
Joined: Mon Dec 28, 2009 8:40 pm
Location:

Post by Sinking Fast » Fri Jul 02, 2010 12:57 pm
Well done Whem on completing your IVA.

I would be surprised to see a mainstream bank lending to someone who has only just come out the other end of an IVA.

Although Im sure a small loan will do wonders to repairing your CF, I am surprised anyone would consider jumping back on that slippery slope of credit so soon after completing an IVA.
 
 

another_bump

User avatar
Posts: 23
Joined: Tue Jul 21, 2009 8:34 pm
Location: United Kingdom

Post by another_bump » Fri Jul 02, 2010 2:24 pm
Don't do the loan! Would it be too difficult to wait another few months, save and then buy a cheap car? I can't wait to be debt free and when I am it'll stay that way. FOREVER!!

Well done on finishing the IVA xx
 
 

Adam Davies

User avatar
Posts: 14596
Joined: Thu Mar 29, 2007 12:21 pm
Location:

Post by Adam Davies » Fri Jul 02, 2010 2:40 pm
Hi
I think some bank managers have a free hand to lend upto a certian level and can bypass the usual credit checks.
I understand Size 5s concerns however credit is part and parcel of our society and it can be very useful if used correctly. Someone having been through an IVA will have been totally rehabilitated and sensible enough to take on a manageable loan and even a credit card.
Enjoy your new car Whem
Regards
Andam Davies
 
 

Skippy

User avatar
Posts: 20720
Joined: Sat Oct 21, 2006 6:08 pm
Location: United Kingdom

Post by Skippy » Fri Jul 02, 2010 2:49 pm
Well done Whem!

I agree with Andy. Unfortunately it's not realistic to think that we can go through life never having credit. I know that I will have to take a loan one day when my car needs replacing, and while I don't like the idea it's a necessity.
 
 

ThriftyWitch

User avatar
Posts: 163
Joined: Fri Jun 25, 2010 12:54 pm
Location:

Post by ThriftyWitch » Fri Jul 02, 2010 7:13 pm
I have to say that whilst its each to there own and there are many people who once out of an IVA go onto have credit again and use it wisely, it fills me with utter dread to ever consider credit again. I would say its because of the stage I am at not having an IVA in place yet, but I would save the 600 quid for another six months and go get a 3,500k car, to me that would be the most I have ever spent on a car (my motor is about 15 years old and has a value of about £250)
I know that would be a bit disheartening, to go on another 6 months but at least its your money now. Im looking forward to the day I have my IVA payment to myself and all the overtime to spend on what I like! [:D]
Trying to be thrifty!
 
 

kallis3

User avatar
Forum Expert
Posts: 77170
Joined: Mon Mar 17, 2008 4:02 pm
Location: United Kingdom

Post by kallis3 » Fri Jul 02, 2010 7:32 pm
As long as you have learned your lesson and use credit sensibly then I don't see a problem.
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
 
 

orchid5

User avatar
Posts: 1814
Joined: Sat Jul 05, 2008 2:37 pm
Location: United Kingdom

Post by orchid5 » Sat Jul 03, 2010 8:13 am
Well done whem on getting to the end of what can be a difficult time for all, learning the art of budgeting etc. Would your car not last you for a few more months of is it that you would be throwing good money after bad by keeping it on the road until you have managed to save up your monthly iva payment until you have reached enough for a decent car? I know that when my IVA ends, hopefully in 2 yrs my car will be 11 years old and have something in the region of 120000 on the clock so it will be very tempting for me to say the same as yourself, especially as i do rely on my car for work due to a 50 mile round trip everyday. Good luck with whatever you decide to do and hopefully what you have learnt over the last 5 years will stay with you. Take care and be safe.
Om shanti, namesté, good luck to all who are embarking on the IVA journey, it isn't always an easy one but the outcome is the best.

IVA COMPLETED August 2012, received Completion certificate 18.4.13.
15 posts Page 1 of 1
Return to “Ask IVA Forum and Industry experts”