Need to start an IVA - please help

bunnygirl007

Morning everyone

I was planning BR but on investigating the process further have had to change tack and am now planning to go for IVA. A few months ago I contacted Pay Plan who advised I was eligible and I will be contacting them again as well as CCCS.

Meanwhile, however, can anyone please advise exactly what happens, what info do they need and when, what checks e.g. assume they check your credit files are made etc, who do they inform????

I've checked a few sites but none go into any real detail as to what to expect. Are the interviews the same as for BR? I understand IVA is preferred if you do not risk losing your home etc but then I see on 1 site they may insist you sell your home or other assets?

Hoping some of you can give me a bit more clarity but a bit worried because this board seems awful quiet compared to the BR board.

Anyway thanks in advance for any advice offered.

bunnygirl007

Also how do I start preparations i.e. do I stop payment to creditors? I've already defualted in last 2 months with some and am ignoring phone. Should I change my bank account now or later?

Thanks

thecableguy12

there are no interviews use payplan or cccs, if you have more equity on your property than the unsecured debt you owe thay will not accept the iva, any qusetions pm me

abx1

Personally - would steer clear of payplan! They have not done me any favours to the point where it might cost my house. Poor admin, no comminucation, left hand/right hand issues. Use CCCS.

thewad

I have £80,000 in unsecured debt.
I have about £90,000 in equity in the house.
Does that mean they won't accept an IVA?
It's not as if I can release the equity by re - mortgaging.

John

MIVAA

thewad wrote: »

I have £80,000 in unsecured debt.
I have about £90,000 in equity in the house.
Does that mean they won't accept an IVA?
It's not as if I can release the equity by re - mortgaging.

John

Hi John,

Unfortunately, I'm afraid to say that's correct.

An IVA is part of the 1986 insolvency act, and is for people who are insolvent.

This, by definition, will exclude people who could sell their assets and satisfy their debts, i.e. people who are solvent.

However, it maybe that you have over estimated the value of your property, or possibly underestimated how much you owe against it (don't forget redemption penalties and legal & estate agent fees), in which case you maybe just qualify.

MIVAA

butchx5

Hi
Would just like to clear something up.
Unless things have changed recently - My husband and I entered into an IVA in 2006 - we had recently moved to France. Our business in the Uk went bust as our major client went bust on us owing huge £££££££thousands therefore had no income to arrange an IVA via a pay monthly system and in fact our only assett was our French house.
We arranged to sell our house and use the cash tied up in it to pay off our debt - we had a deadline we had to sell by - which thankfully we were able to meet. We had agreed the price we were hoping to sell for (actually below the asking price - to allow for offers) and that became the agreement for the IVA. We were actually left with a couple of thousand. - Not a lot to restart a life but hey.
The IVA was finalised December 2006 - actually shows as our debts with the banks being settled on that date.
IVAs are not an easy option - be sure it really is your only option before going down that avenue.
Also make sure you choose the company to help you VERY carefully = the first company we used - name given the goverment helpline - actually made matters far worse for us by not actually doing anything with our creditors for 6 months despite many communications to us saying everything was progressing. Try and always use a company recommended by others.
It is an extremely stressful time anyway and you don't need a useless company making matters worse.