One creditor is unaware i took out my iva

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sam780
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by sam780 » Mon Aug 14, 2017 10:58 am
I have an iva which was set up in july 2016, I have been paying £80/month for over a year. I have two creditors to repay approx £7,000 in debt and neither have been paid an amount and one creditor is unaware i took out my iva, i am constantly having emails and letters to state i'm in arrears and a court hearing will be sent out. The IVA company has not returned any of my emails and and are being really unhelpful via phone calls. I have paid them £960 approximately so far and my credit score is getting less and less each month. My credit card company who i have been with since i was 18 have now canceled my credit card- i've never missed a monthly payment with them. what can I do? i want to start saving to buy a house with my husband will this ever be possible?
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Michael Peoples
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by Michael Peoples » Mon Aug 14, 2017 11:26 am
This all sounds wrong and are you sure you are in an IVA. All debts must be listed in an IVA so your credit card would have been included along with the other creditors. Each creditor would have had notice of the meeting and be bound by the outcome so you should have no dealings with any at all. Sometimes there are problems but once the creditor receives a copy of the Chairman's Report they must cease contact and deal with your IP directly.

Your credit file will be severely damaged for six years if you are in an IVA so a mortgage is unlikely at best and regardless your IP would want to know how you could save for a deposit. You could be in debt management and it all sounds a little confusing so perhaps you should check the insolvency register to see if you are actually on there.
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Foggy
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by Foggy » Mon Aug 14, 2017 11:31 am
Hello and welcome to the forum. May I ask which firm is handling your IVA ?

It is not unusual for creditors to receive very little, or nothing at all during the early years of an IVA and this should all be detailed in your paperwork: specifically the proposal itself and the Chairman's Report of the initial meeting. Was the creditor who is bothering you now actually mentioned in the IVA ? You will see if they voted or not from the Chairman's Report.

As for the credit card, this should have been cancelled at the start of the IVA as you cannot use credit without your IP's permission. Your credit score will be trashed by the IVA and it happens to all of us -- but it does recover, around 6 years after the start of your IVA, if all goes to plan.

Are you certain you are in an IVA and not a DMP ? £80 a month is a very low payment (though not unheard of), but an IVA for £7,000 of debt between two creditors is like using a sledgehammer to crack a nut (unless circumstances dicated it was the best way forward at the time) .
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Lisa Thomas
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by Lisa Thomas » Mon Aug 14, 2017 2:11 pm
sam780 wrote:
I have an iva which was set up in july 2016, I have been paying £80/month for over a year. I have two creditors to repay approx £7,000 in debt and neither have been paid an amount and one creditor is unaware i took out my iva

They should be aware as you should have included them as a creditor in your IVA. The Supervisor should have written to them. Are you sure they were included in your list of creditors? It may simply be the case that the creditor has not updated their records, which is common but I would have expected it to be sorted by now.


i am constantly having emails and letters to state i'm in arrears and a court hearing will be sent out.

The Court hearing will be academic if you are in an IVA. Write to the Court and the creditor (again) explaining you are in an IVA and provide them with your Supervisors' details to contact (if you haven't already)

The IVA company has not returned any of my emails and and are being really unhelpful via phone calls.

Put your complaint in writing and follow their complaints procedure.

If no joy then escalate through the Gateway here:


https://www.gov.uk/complain-about-insol ... actitioner

I have paid them £960 approximately so far and my credit score is getting less and less each month.

Your credit score will be trashed for 6 years from the start of your IVA, due to your IVA.

My credit card company who i have been with since i was 18 have now canceled my credit card- i've never missed a monthly payment with them. what can I do?

You are not usually allowed credit for £500 or more without consent from your Supervisor (based on standard terms). I'm surprised this card was not frozen once your IVA started.

i want to start saving to buy a house with my husband will this ever be possible?


Where will the savings be coming from?

You almost definitely won't be able to buy a house until your IVA is completed, you have your CC, you have come off the register and 6 years has passed from the start.


As Michael asks - are you sure you are in an IVA?
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kallis3
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by kallis3 » Mon Aug 14, 2017 5:34 pm
Hi,

I agree you may not be in an IVA - which company are you with?

Check to see if you are on the Insolvency Register.
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