About to start the IVA process.

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James And Jaime
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by James And Jaime » Fri Oct 06, 2017 6:35 pm
First off.. Hello! James here. Me and my better half (Jaime) of nearly 8 years are currently in the process of starting an IVA.

We have tried a consolidation loan to no avail, a remortgage again no luck. I am currently self employed with a LTD business, she is working full time as a support/care worker
for a local charity.

We have one loan that currently stands at £13000, one at £8500, one at £800, another at £4200.
Also our current overdrafts are -£600 (me) -£1200 Jaime, £-1300 for the joint account. (All with lloyds)

Outgoings for the loans alone is around £600 per month + over draft fee's ect. that is not including the morg, feed, other bills ect. There was also a £160 per month on top for finance on a bike from 2014, but this has been paid off as of yesterday, I sold the bike to pay off the remaining finance and pay back friends and family.

I get £204 per week, Jaime gets £1120 per month, at the moment any spare money is eaten up by overdraft fee's and we are left with around £10 each per week if we are lucky.

This was all been our own doing by trying to start the business up but things did not go as planned, we took a gamble and lost.

The company currently owes out about £8500 in machine finance and material supplies.
It has £9500 in assets so I can close down and pay off anything owed.


My main thing right now is my business bank is also with lloyds, since our personal accounts will be closed upon the start of the IVA (monday is when we sign)
will my business bank also be closed since I am the sole name tied with it?? :?:

Also our house is with Lloyds mortgages too. I know because there is no value in the house right now e wont have to sell, but will they make us remortgage?

That is all for now, But I am sure there will be many more questions over the next few months

Thanks all. James
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Foggy
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by Foggy » Fri Oct 06, 2017 8:12 pm
Welcome James and Jaime. Whether Lloyds will close the business account really depends upon their own policies regarding how they associate the corporate body with the sole or main director. Regarding the mortgage depends upon the version Protocol your provider is using (or other terms & conditions, like R3). Pre 2014 Protocol versions required an attempt at equity release (if equity is over £5k) by remortgage. If this attempt fails ( as it normally does at the moment, but things change) the IVA is extended by 12 months. Some IP's will ask you to investigate secured lending instead .... this isn't the same as remortgaging and they cannot force it on you ..... However, later versions have introduced the secured lending as an option which you might be forced to take.
James And Jaime
Posts: 2
by James And Jaime » Sat Oct 07, 2017 5:44 pm
Foggy wrote:
Welcome James and Jaime. Whether Lloyds will close the business account really depends upon their own policies regarding how they associate the corporate body with the sole or main director. Regarding the mortgage depends upon the version Protocol your provider is using (or other terms & conditions, like R3). Pre 2014 Protocol versions required an attempt at equity release (if equity is over £5k) by remortgage. If this attempt fails ( as it normally does at the moment, but things change) the IVA is extended by 12 months. Some IP's will ask you to investigate secured lending instead .... this isn't the same as remortgaging and they cannot force it on you ..... However, later versions have introduced the secured lending as an option which you might be forced to take.


I have yet to sign anything thankfully, so I can sharp swap over any business bank accounts. over the coming few weeks before anything else. As for the 12 months after the 5 years that is part of it, but to be honest we have already agreed that the house can be sold if needs be.
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