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liverpig

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Post by liverpig » Thu Sep 02, 2010 8:05 am
At the end of this month (Sept). I loose my Car, it is on PCP lease and I can't afford the balloon payment and can not secure finance to replace it even though there is provision in my IVA. As a consequence I will loose £200 allowance from my monthly wage, however I will be £380 (Car payment) and £70 (insurance) better off, this means overall I will be getting £250 more as disposable income. . My work will be supplying me with a van for which I have to front up the fuel costs and then reclaim the cost (average 2000 miles a month)I will need about £150 as a 'float' to ensure I have fuel money.
Now do I inform my IP in Oct when this is fully in effect, or wait for the next review which is in Dec (12th month). I don't want to spend what is essentially money that can be given to my creditors and end up in the debt boat again.
 
 

Shining

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Post by Shining » Thu Sep 02, 2010 8:09 am
I think in situations like this liverpig when things are not clear, it may be advisable to drop them an email and hopefully they'll give you case specific advice.

One of our professionals will be along very soon to advise too x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
 
 

liamjames

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Post by liamjames » Thu Sep 02, 2010 8:12 am
I would be very surprised if you IP hadn't already noticed this and taken it into account when proposing your IVA.

It's really important that you phone him before the PCP lease is finished. You may be entitled to get a new lease, or you may be required to increase payments into the IVA as of October.

In any case, it's much better to be sure. :)
Take care,

Liam James
Varden Nuttall
http://www.vardennuttall.co.uk

Read our reviews here: http://www.iva.com/iva_companies/Varden_Nuttall.asp
 
 

kallis3

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Post by kallis3 » Thu Sep 02, 2010 8:47 am
I would speak to your IP sooner rather than later.

As Liam says, better to be sure.
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
 
 

lizwalker

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Post by lizwalker » Thu Sep 02, 2010 9:35 am
I had a balloon payment on my car with Citroen Finance. I called them before my IVA had gone through to see what options I had. They advised me to call 2 months before the balloon payment was due and kindly agreed to spread the remaining amount over either 1 year or 2 years! May be worth calling your finance company to see if there is anything they can do as Citroen were really helpful. This was all detailed in IVA proposal though.
 
 

MelanieGiles

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Post by MelanieGiles » Thu Sep 02, 2010 9:43 am
It is likely that your IP assumed that you would refinance the balloon payment - although this should have been checked prior to the documents being signed. Given that this change in circumstances represents a material difference in your ability to make payments, I would contact your IP for advice - and prepare for your payments to be increased straight away.
Regards, Melanie Giles, Insolvency Practitioner
 
 

liverpig

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Post by liverpig » Thu Sep 02, 2010 11:29 am
lizwalker wrote:

I had a balloon payment on my car with Citroen Finance. I called them before my IVA had gone through to see what options I had. They advised me to call 2 months before the balloon payment was due and kindly agreed to spread the remaining amount over either 1 year or 2 years! May be worth calling your finance company to see if there is anything they can do as Citroen were really helpful. This was all detailed in IVA proposal though.
I tried the finance company months ago Liz as well as the broker and several other options, no joy. The finance is with HBOS, although not one of my creditors LloydsTSB are, and I believe they are pretty much one and the same now. My IP was fully aware of the PCP but gave no help in any new proposals or refinance, I was fully aware that they would not/could not assist with this.
I had several replies to renewal of my PCP but the interest rate and initial payments were far to steep for my liking. I will get a van from my work so it isn't as if I will be without any wheels, I think my tax code will change as well when I get the van.

Thanks for all the advice, I will contact my IP as see what he advises.
Last edited by liverpig on Thu Sep 02, 2010 11:30 am, edited 1 time in total.
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