On iva can i go bankcrupt

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Lahoretiger

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Post by Lahoretiger » Tue Aug 03, 2021 6:40 am
In an iva with stepchange can i go bankcrupt no assets at all

kallis3

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Post by kallis3 » Tue Aug 03, 2021 7:13 am
Why don't you want to continue with your IVA? You will have to let it fail and then go bankrupt or ask Stepchange to terminate it for you. There will be a fee to pay fir BR and you may find that you have an income payment order for up to three years.

Are you having problems with your IVA?
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.
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Foggy

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Post by Foggy » Tue Aug 03, 2021 9:28 am
As Kallis says, you will have to find around £750 to go bankrupt yourself, and may end up no better off in the long run. Why the change of heart ?
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
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bowline

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Post by bowline » Tue Aug 03, 2021 1:13 pm
We need to know a bit more to say something useful e.g. Debt total in IVA. Monthly payment to Stepchange. How many years to go in IVA.

With no assets, bankruptcy is usually a better option at the start than an IVA. If you are in the first couple of years and realize you made a mistake, it may be sensible to switch.

But if you are further through the IVA, if your IVA payments are affordable it may be sensible to continue, especially if you would have to make monthly payments for 3 years in bankruptcy.

kallis3

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Post by kallis3 » Tue Aug 03, 2021 1:38 pm
He started his IVA last year and hopefully he will come back and let us know why he is struggling and how we can help him if we can.
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

Lahoretiger

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Post by Lahoretiger » Tue Aug 03, 2021 3:23 pm
Monthly payments are 276 pound when my daughter turns 18 in two years it will be 476 on a 40 k debt how much will a bankcruptcy order be
Do i have.to pay for my iva to stepchange

kallis3

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Post by kallis3 » Tue Aug 03, 2021 3:31 pm
An income payment order may be as much as your IVA payments and you have to pay the upfront fee (can be paid in instalments), Your payments to Stepchange would cease. Your debts would be wiped off immediately, you would come off the Insolvency Register after 12 months but your six years bad credit would start again from day one.
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

Lahoretiger

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Post by Lahoretiger » Tue Aug 03, 2021 5:53 pm
To they take into.account benefits
For the pay order like uc

kallis3

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Post by kallis3 » Tue Aug 03, 2021 6:00 pm
The Official Receiver will go through your income and expenditure - you obviously will be able to live but you may have to make those payments. It will be down to them. They will take into account all of your income.
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

bowline

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Post by bowline » Wed Aug 04, 2021 4:19 pm
Tue Aug 03, 2021 5:53 pmLahoretiger wrote:
To they take into.account benefits
For the pay order like uc
UC is treated as income in bankruptcy. But If you are getting Universal Credit it sounds like you are paying a surprisingly large payment each month to your IVA.

(There is an exception that if your only income is from Benefits, you would never pay any monthly payments in bankruptcy.)

Do you have any Disability Benefits such as PIP or DLA? In bankruptcy although they count as income, they are cancelled out as you can have an expenses line for the same amount.
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