Is an IVA the way????

inneeedofhelpdude

Hi all,

I posted up a long time ago about my situation, now i am still looking at the same options... can anyone advise or assist as to what i should be doing? sorry if this is all wrong. I never post, just read and learn from others...

Here goes!!!

Below is a rough template;

Monthly Incomings:

My salary - £1,353.00 (22k per annum)


Monthly Outgoings:

Mortgage/Rent - £0.00 (family helping)
Council Tax - £0.00
Gas - £0.00
Electric - £0.00
TV License - £0.00
Sky £0.00
Phone - £35
Food - £100
Car Insurance - £42.00
Petrol - £150
Gym Membership - £28

Total: £355.00

Student Loan (govt) - 16,000 Roughtly £50 per month differs! (come out before end total) so i get £1353.00 in my pocket from salary!
Barclays Pro development Loan - 25,000 £345 per month 7.2%APR
Nationwide - 16,000 £278.00 per month 12.4 ish %APR
Credit Card - 6,050 min payment each month 0% apr

At the end of each month i have around £200 spare, i try and give some to my family as they help with food, clothing and accomodate me. I am not overdrawn in my bank and so as you can see i am just about making it work with a struggle. Unexpected bills can suddenly put me well overdrawn and seems like i am always on catch up with the overdraft, dipping in and out in hard times!

Would an IVA be advisable for me??? Any advice would really help. thank you.

GeorgeUK

Hi inoh

If you are meeting your current costs then i would not advise an IVA (this is one step away from bankruptcy). Can you redo the SOA and include all costs (as though you weren't getting any assistance from family), then we may be able to see areas in which you can save and possibly how to get you relying less on the family and kicking the debt into touch.
https://www.makesenseofcards.com/soacalc.html

No scary interest rates, but is the Nationwide a loan, C/C or O/D?

RAS

Hi
Car tax? Car maintenance?

Deep_In_Debt

Also, if you don't have property to protect then an IVA is not suitable for you.

Miss_Piggy_2

I would say no, an IVA is not right for you. I would recommend speaking to the CCCS and seeing what they recommend for you.
There are ways to cut costs first....ie scrap gym membership. Pare your outgoings down to the minimum, post an SOA and see what people recommend.

Miss P
xx

inneeedofhelpdude

Hi thanks all for your replies......

I can see what you mean about the IVA not being quite right.......i will do a proper SOA, i just need to look up how to do a proper one and i will get it all on here.

inneeedofhelpdude

RAS wrote: »

Hi
Car tax? Car maintenance?

The car is not actually mine. Its a hire purchase car, buts its owned by my mum. I just use it day to day. the tax is £35 a year (brilliant) and the maintenance is hardly anything as its was brand new only a year ago!

inneeedofhelpdude

The nationwide one is a loan.....

As for scrapping gym membership, i dont think thats good for me. Its the only thing i have as a luxury and it keeps me occupied for six nights of the week, so for me gym membership is the very last thing i would like to go.

purple-pear

If you log on to the cccs wedsite u can do the debt remedy u fill in all your details and then it advises you through the system what thy advise. Be honest when u do it and dont underestimate etc as its only for your reference and u can go back and change it i.e change it with possible cut backs increases etc after u do initial one but it will give u a good idea of what a professional non profit making debt charity advise. Its a good start.

Its hard what to do for the best, however see what it comes up with in terms of a debt managment plan it yells u how many years you would be paying in to it for etc. No options are good from what I have read over last few weeks problems with them all. If you only have 200 left per mth to pay off it will take years and ina debt man plan creditors are not legally bound so can start adding interest again at anytime however thy may not. Credit rating is affected for years as default can be issued at anytime throughout the plan.

IVA very strict miss one payment without exeptional circumstances as the reason and thy will make u bankrupt. Thy also closely monitor money caming in and take more if wage goes up etc. U also need to have disposable income each month to pay back approx half the money you owe over a period of 5years. Credit file affected for 6yrs and u can only have a basic bank account, no further credit etc (not that u would want it).

Then finally bankruptcy which doesnt seem to have the same stigma attached to it as it used to and lots of people on here seem to have taken that option. However I spoke to someone who went br the other day and he said it took him 10years to recover financially which is a long time....