Token Payment confusion.

[Shining]

If the token payments aren't stopping the calls then maybe not making them won't increase the calls and give you more disposable income. Now your paperwork has gone off to your chosen company it shouldn't be long before you receive a proposal to look over, have they given you a timescale? If you feel that £35.00 is more realistic for car maintenance then I was talk with them to increasing your allowance to this amount pre-IVA as you don't want to struggle within an IVA.

Have you considered a number change? x

[Imhotep]

No timescale. We will be contacting them on Tuesday to see what is happening and if they have everything they need.

They have been good with some items but seem to be pretty inflexible about the 20.00 allowance for car maintenance. "It's standard" is their reply.

[Shining]

I would advise you to be 100% happy with your I&E as you don't want to struggle too much, I'm not saying I live the life of luxury but I do have adequate allowances for things and if something does happen I sometimes have to interchange a few allowances but can mostly cope. On occasion I've had to contact my IP for a payment break (£800.00) boiler bill but this was sanctioned and now all paid back. x

[Imhotep]

We have an emergency allowance. I'm guessing anything beyond a service will fall into that.

I'm a little worried because last year our service cost 180.00 and we also had to buy two new tyres (around 120.00).

I don't mind juggling the 'pots' some months to make ends meet. But having said that I would be pretty miffed if the creditors asked for us to rethink our proposed allowances.

[Shining]

I guess it can happen at the meeting but mostly modifications are to do with the IP fees, although I did have to increase my payment by £50 per month but did manage this by tweaking as I was given generous allowances to begin with.

Your Ip will put your best offer forward and hopefully this will be accepted. All the best. x

[Imhotep]

What a nightmare!

Got another letter from the Co-Op Bank insisting on pro-rata payments, the letter listed all possible legal action they may take if I do not start paying pro-rata payments.

I was on the telephone last month and was told not to worry as there was a note on my file that said I was paying interim payments until CCCS got back to us.

We have 11 creditors. All except the Co-Op have accepted token payments of 10.00 for the meantime.

Should I start paying pro-rata payments? The Co-Op have given me until 5/10 to get pro-rata payments sorted out. They said I had to have an income and expenditure sheet filled out by CCCS and have to start paying pro-rata payments by 5/10.

In all honesty I don't mind doing this with all creditors but some who have agreed to an informal arrangement of 10.00 token payments for the next 3 - 6 months will get significantly less if I go pro-rata.

Really fed up with this all now. I feel like jumping in a river

[Shining]

Oh please try not to let this get to you, I didn't pay a penny over to any of my creditors despite their threats.

Have you received your proposal yet? x

[Imhotep]

Nope. We have our mileage breakdown they asked for. Looks like we were spot on with fuel costs after all.

We are still waiting on Barclays to provide a redemption certificate for the secured loan.

I really wish we were asked for this stuff from the outset.

[antm]

I only paid £1 to each creditor on the bill due dates, i got a few calls but when they realised they weren't getting anymore, they stopped calling and harass. The one i owed money to, was a HP for a laptop, can't remember the name of the company but they have gone under now, called everyday, we want an update and more money, thought it was odd as i only owed them a few hundred quid, while another creditor i owed over £20k nothing, not a peep!


They try it on to try and disrupt the process, just call who ever is your case worker or IP for the IVA proposal and get some advice, i mean thats what you are paying for in the long run.

[Imhotep]

IVA isn't even in the draft stage yet.

I've tried to be quiet about an IVA as I've heard they really start to panic when they are mentioned and really crank up the pressure.

Should I start mentioning IVAs?

I'm really miffed with the Co-Op. I guess it's because I'm stuck between a rock and a hard place and can't see what to do for the best for the time being.

[kallis3]

I paid nothing at all.

It will make no difference at all whether you make payments or not. You can either ignore the calls as I did, or have a prepared script and stick to it, or refuse to answer security questions.

As regards to what CCCS said to you, pro rata is treating all creditors equally so you pay an amount to each one pro rata to what you owe them.

Personally, I wouldn't pay them anything. Save up the money until your IVA as either your first payment or as a contingency fund.

[Imhotep]

My wife has had two default notices, I've had one. I'm just really worried about stuff like charging orders, CCJs etc.

One odd thing was that the Co-Op said tat a pro-rata payment would be 'legal' whereas a 10.00 token payment is not. I couldn't figure that one out, if they mean legally binding then I guess they are incorrect as they can change their minds at any time with pro-rata payments (as in a DMP) can't they?

[love hope and strength]

I'm reading this thread with interest as I too am very confused about the pro-rota payment CCCSVA advised me to do.

I am half tempted not to pay anything but I was advised that it will go in my favour in that I still attempted to pay something every month. Would this actually be mentioned during the creditors meeting ?

From reading comments here it seems it makes no difference so I will sleep on it. Building up a contingency fund seems such a much better idea though.

[antm]

I could be wrong, but i don't think it matters how much you pay, you could pay pro-rata or just £5 to each, they can still CCJ or default you. Its one of those things when setting up an IVA or any type of repayment.

I would set up a bank account for salaries, with someone you owe no money to, and change your wages to go to the new account so at least you know your money is safe and its yours. Then carry on the proposal for your IVA, consult CCCS about any creditors harrassing you or causing you any grief. Until the proposal is drafted and the creditors meeting is set, its just lock down the hatches and stay calm, things will get better once the creditors meeting has passed.

[kallis3]

You do not have to pay anything. It will make no difference at all as to whether or not your IVA is approved.