Ask a CCCS counsellor a bankruptcy question

noopynoo

Hello, I hope I'm doing this right. Sorry for the long post!

I need some advice regarding an existing IVA and Bankruptcy.

I have an IVA through Paylplan which I have signed up to for 5 years and currently have two years left of the agreement. In December the monthly payments go up to £400 a month, at the moment I am paying £255. The problem is, is that I have been out of work for 4 months and currently on Job seekers, and I just cannot get back into full time work. I am also homeless - sleeping on family couches!! I am stuck and cannot afford to pay my monthly IVA, and I have no more months left where I can skip paying. If I miss my next payment my account goes into default.

Would I be better off just going bankrupt? Is this an option? I cannot get a job that pays enough for me to rent somewhere, living costs and keep up my IVA - which will only get worse come December.

I am also thinking of re-training and wondered if it were at all possible to study for a degree? Bearing in mind my exisiting student loan (only £4K) is tied to my IVA. Would I be able to get a student loan again to help pay for tuition fees? My family are not able to offer any financial help.

I'm just stuck and not sure what options are available to me. Thanks in advance for your help x

cp7

i have read that these can be included in my br but i've been told by cab that they cannot. they are apparent overpayments made to me in 2003/04 193.00 and 2004/05 575.00. i would like this to be clarified if possible please?

CCCS_Sarah

wils3957 wrote: »

Hi my IP went back to court to end my IVA with them in Februray 09 they sent me a report of the outcome but not sure what is now to happen will it be BR or creditors start chasing again. No one has been in touch IVA or creditors what normally happens.

Hello,

You would need to speak to your Insolvency Practitioner directly and see what their intentions are.

Sarah

CCCS_Sarah

sambo1983 wrote: »

I have recently got married, and know we are sorting our debt problems out. Been advised to write to all creditors to make token offers with the view of going bankrupt if our situation doesn't improve within 3- 6 months. My question is in regard to my name which I plan on changing. Do I change my name with the companies first then make token offers or do I leave it but then will the debt be included in the bankruptcy?

You would need to let all your creditors know your new name, even if you were going bankrupt. Least then all your records at up to date.

weewillywinkie

Hi,

from reading various different threads and other websites i am a bit confused as to how i become sequested.

i have spoken to CCCS re my affairs and the best option for be is sequestion but do i have to wait for a charge of payment(have stopped paying my creditors and the phone calls have started from 8am to 9pm barclaycard being the worst) or can i just get the forms from the AiB and fill them in myself?

(i have a jnt mtg that has around 60k neg equity)

i would be most greatful for some advice.

CCCS_Alan

noopynoo wrote: »

Hello, I hope I'm doing this right. Sorry for the long post!

I need some advice regarding an existing IVA and Bankruptcy.

I have an IVA through Paylplan which I have signed up to for 5 years and currently have two years left of the agreement. In December the monthly payments go up to £400 a month, at the moment I am paying £255. The problem is, is that I have been out of work for 4 months and currently on Job seekers, and I just cannot get back into full time work. I am also homeless - sleeping on family couches!! I am stuck and cannot afford to pay my monthly IVA, and I have no more months left where I can skip paying. If I miss my next payment my account goes into default.

Would I be better off just going bankrupt? Is this an option? I cannot get a job that pays enough for me to rent somewhere, living costs and keep up my IVA - which will only get worse come December.

I am also thinking of re-training and wondered if it were at all possible to study for a degree? Bearing in mind my exisiting student loan (only £4K) is tied to my IVA. Would I be able to get a student loan again to help pay for tuition fees? My family are not able to offer any financial help.

I'm just stuck and not sure what options are available to me. Thanks in advance for your help x

Hi Noopynoo

Unfortunately since you are still legally bound by your IVA you would need to direct your questions towards your IP about your situation, and what will happen next in your case.

Regards a new student loan you would need to look into the qualifying criteria from the student loans company.

Regards

CCCS_Alan

CCCS_Alan

cp7 wrote: »

i have read that these can be included in my br but i've been told by cab that they cannot. they are apparent overpayments made to me in 2003/04 193.00 and 2004/05 575.00. i would like this to be clarified if possible please?

Hi CP7

The debts would be included. But if the benefit overpayment was joint the other person would still be liable for the debt.

Regards

CCCS_Alan

CCCS_Sue

weewillywinkie wrote: »

Hi,

from reading various different threads and other websites i am a bit confused as to how i become sequested.

i have spoken to CCCS re my affairs and the best option for be is sequestion but do i have to wait for a charge of payment(have stopped paying my creditors and the phone calls have started from 8am to 9pm barclaycard being the worst) or can i just get the forms from the AiB and fill them in myself?

(i have a jnt mtg that has around 60k neg equity)

i would be most greatful for some advice.

Hi weewilliewinkie and thank you for your message

Unless you qualify under the new LILA scheme, a petition can only be presented if you are ‘apparently insolvent’.
You would need to provide evidence of your ‘apparent insolvency’
‘Apparent insolvency’ is a legal term that means you are unable to pay your debts and that at least one creditor has taken legal action against you.
It is the pre-condition for sequestration
A person is apparently insolvent if any of the following conditions apply:
A charge for payment has been served and the 14 days notice has expired without payment being made.
A summary warrant has been issued against you and there has been an attachment or attempted attachment of goods and 14 days have passed.
A statutory demand has been served and the 21 days notice has expired but the debt has not been paid nor has the denial slip been returned.
The revocation of a Debt Payment Program (DPP), where you had been served with a decree or summary warrant prior to the approval of their DPP, under the Debt Arrangement Scheme (DAS).

Hope this helps

Regards
CCCS_Sue

seansheep

Hi,
I am looking at going BR, going to an IP this week to discuss options.

My plan is to sell my car and buy a cheaper one for work then pay my mortgage for a couple of months with the rest of the cash to buy some time.
But if I go BR will this bite me later even if all the excess money goes towards my mortgage.

thanks
Sean

CCCS_Sue

seansheep wrote: »

Hi,
I am looking at going BR, going to an IP this week to discuss options.

My plan is to sell my car and buy a cheaper one for work then pay my mortgage for a couple of months with the rest of the cash to buy some time.
But if I go BR will this bite me later even if all the excess money goes towards my mortgage.

thanks
Sean

Hi Sean and thank you for your message

The OR will want details of any assets that had been sold prior to your bankruptcy. They would question what the money was used for and you would possibly need to prove that it was used to pay your mortgage and get a cheaper car.
I do not know your full situation but as a mortgage is a priority payment, I do not think it would be a problem.

Regards

CCCS_Sue