contacted my iva company re missed payments

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MelanieGiles
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by MelanieGiles » Wed Jan 13, 2010 1:39 pm
And would probably help to reduce that overall IVA failure rate of between 30% and 40% as well!

 

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zim zim
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by zim zim » Wed Jan 13, 2010 1:45 pm
Did not realise the failure rate was that high Mel. Quite shocking when you think about it as an affordable solution!!

 

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normanaston
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by normanaston » Wed Jan 13, 2010 1:46 pm
i have just spoken to my iva people had a nice chat and it seem that they feel missing two payments is not to much of problem need to kept them informed when thinks get a difficult they will put it on the end
or make up the missed payments good to talk which does help a lot.
thanks again to you all{things can only get better]were did i hear that
song now look at mess we are in!!
norman aston

 

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MelanieGiles
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by MelanieGiles » Wed Jan 13, 2010 1:47 pm
That is an average across the board figure. A lot of firms would actually experience a much lower failure rate - largely because of time and effort put in to understand their clients true financial position at the nominee stage.

 

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Michael Peoples
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by Michael Peoples » Wed Jan 13, 2010 2:23 pm
The most difficult time is the first year for clients. Given the restrictive guidelines and then creditors trying to squeeze every last drop out at the meeting of creditors, people do struggle. However, at the annual review stage they can keep some of any increases in salary and given time their situations improve.

I agree that variations are time consuming, expensive and unnecessary but quite often this is the only way to preserve an IVA. As Melanie says the IVAs of ten years ago were more likely to run their course as they were more affordable and creditors were not concerned about the minutiae of the income and expenditure accounts. The allowances for the likes of housekeeping actually seem lower than we allowed back then although other things such as Sky, smoking or socialising were not acceptable.

The IVA is supposed to be the debtor's best offer and not a punishment. Current treatment of debtors can at times seem really unfair and it appears that some creditors are under instructions to increase the contributions and therefore dividend irrespective of what is already proposed. Are they on commission or are they trying their best to make the IVAs fail?

 

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kallis3
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by kallis3 » Wed Jan 13, 2010 2:29 pm
Of course the other question is, why on earth would they want them to fail when a lot of people go bankrupt and they will probably get even less back?

 

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MelanieGiles
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by MelanieGiles » Wed Jan 13, 2010 2:31 pm
Just trying to justify their "raison d'etre" in a lot of cases I suspect Michael! I have meetings with the top four voting representatives over the next couple of weeks (weather permitting), and this will be one of issues I will be raising.
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