lots of IVA questions - advice appreciated!

olivetrees

Hi there

My husband and I are considering an IVA. Is there a calculator anywhere that would tell me what I would need to pay for £35,000 worth of debt? Do my creditors have to accept the IVA?

I'm a bit blind on all this and would appreciate and advice or any pointers to a helpful company/website.

Thank you

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RAS

welcome

IVAs are suitable for a very small number of people.

We advise that you talk to a debt charity and get their advice on all your options before you do anything. Please do not get caught up in the ads you see in the papers and on TV. it is not unknown for someone on an IVa to pay back more than they originally owned once the IPs fees are added and at the other end of the scale if either of you ceases to work for any reason, you could both have to go bankrupt.

talk to one of these organisations ttp://www.moneysavingexpert.com/loans/debt-help-plan#help

To_be_Free

RAS wrote: »

welcome

IVAs are suitable for a very small number of people.

We advise that you talk to a debt charity and get their advice on all your options before you do anything. Please do not get caught up in the ads you see in the papers and on TV. it is not unknown for someone on an IVa to pay back more than they originally owned once the IPs fees are added and at the other end of the scale if either of you ceases to work for any reason, you could both have to go bankrupt.

talk to one of these organisations ttp://www.moneysavingexpert.com/loans/debt-help-plan#help

[url]Http://www.moneysavingexpert.com/loans/debt-help-plan#help[/url]

MIVAA

Hi there olivetrees,

The IVA contributions that everyone is required to pay is be based at whatever they are able to afford in their personal circumstances and not a fixed amount, the premise of an IVA being that the repayments should be affordable for the debtor.

In essence this is calculated by taking the persons income and deducting their share of all household cost and any other essential living costs they have. Whatever is left over will be offered to creditors as a monthly contribution as an 'affordable payment'

Two people with the same debt level to the same creditors will be paying different payments, unless their personal circumstances are identical.

The IVA consultation will establish whether or not your affordable payment is high enough for an IVA application. There is a calculation done during your IVA consultation which should establish the minimum payment requirements of your personal bunch of creditors.

To answer your 2nd question, Your creditors do not need to accept you IVA proposal, because they need to enter into the IVA voluntarily also.

You will need to receive an acceptance of the IVA from the majority of your creditors that vote, i.e. more than 75% of the value of your debt, before the IVA becomes legally binding on all of them.

I hope this helps.

MIVAA

olivetrees

thank you so much for your help - its made things much clearer.

sending virtual hugs your way.......