IVA - Fail before even made a payment!!

aero1

Hi all.

Ok, this is very embarrassing - here goes...
marriage breakup, 2 kids, mountains of debt, house in negative equity still in joint names.
Along came IVA option which seemed the answer to my prayers. My income figures included maintenance which was only ever agreed verbally.
Ex started messing me around with money a few months ago - prior to creditors meeting I contacted IVA people (Payplan) and said I was really concerned about maintenance, would have to go thru CSA and could take months. Was told to let the creditors meeting gop ahead.
It did, they approved it - NR insisted 6 years instead of 5 and some other modifications. The very same day I found out maintenance will be a lot less, and will not be able to pay IVA at all as have NO income left over and I mean none! I swear, I cannot describe the panic and sheer terror that I felt that day...

So I am going to go bankrupt, cant take any more stress and worry and can rebuild my life faster and give my kids a better life.

my question is:
As I never signed the papers which were sent to me after the creditors meeting, am I actually tied to IVA now?
I know that if u miss 3 months payments on your IVA, then you go to Fail, and then can go for bankruptcy if that is whats needed.
However as I havent made a single one, and not signed anything - do i have to wait? Or is considered active simply because it got the go ahead?

To be honest I am scared to call them and ask, and am hoping someone here can tell me

Many Thanks

trudij

I cant help really, cos im afraid i have no idea - but i just wanted to give you a cyber hug, cos it sounds like you could use one!!

Im sure someone will be along later who can help you out

Nargleblast

You still need to talk to the IVA firm as things have changed since you last spoke to them - your income has greatly reduced and you can no longer afford the payments! I would think things are not yet finalised as you did not sign the papers, but talk to them anyway - they are not going to bite your head off, you are being up front about your situation and there may be another way to solve the problem. Good luck.

aero1

Thank u both very much

I know I am just bein a chicken not calling them - but I am bein a little pro-actiev and getting as much information as possible about bankruptcy in the mean time, this site has been fantastic
But yes i will call them, will brace myself and do it!!
Thanks again x

thecableguy12

your ip can also do the bankruptcy for you

Proverbs_31_woman

they will reassess you based on your new income - give them a call - they will advise if they think bankruptcy is your only option x

aero1

Thanks guys I thought I have to do all bankruptcy myself, cant afford to pay anyone to do it for me teehee

AngelRainbow_2

The IVA isn't binding unless you have signed the agreement. There is one additional worry to consider...if it doesn't go ahead and you are petitioning for your own BR, you may owe money to your IP for all the work they did for you in getting the proposal to the creditors meeting, as they will not be able to dedcut their fees from your payments .