IVA failure

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:confused:Hello

My IVA failed in February 09 they sent me the report but I dont know if they have filed for bankruptcy as have not heard from creditors yet.

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  • Charco_2
    Charco_2 Posts: 1,677 Forumite
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    I would assume they have NOT filed for your bankruptcy... in some circumstances your IP would be forced to file for your bankruptcy but generally speaking, as it costs money to file, they wont bother.

    Your creditors would simply prefer that any available monies were made available to them. Otherwise, it'd be like using THEIR money to get you out of paying them their money!

    May be worth checking (look on the register/speak to your former IP)... but it's very unlikely you've been made bankrupt or that anyone is pursuing it for you! Sorry if this isn't what you wanted to hear!
    Would you ask the wolves to look after the sheep?
    CCCS funded by banks
  • Dodo_Donna
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    Oh dear I am so sorry to hear that happened to you!

    I am in the process of setting up with my IP an IVA proposal and I am very frightened that it will fail and the consequences of that. I have the fear bigtime despite the confidence of my IP.

    Have you any idea what you are going to do now?

    X
    D
  • wils3957
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    I have just rung Synergi who were dealing with my IVA as I had paid in 8373.44 now out of that they have taken 5586.99 and have paid the rest to my creditors. So guess I am not going bankrupt as there paper work led me to believe, I wish I had just declared my self bankrupt at the beginning, I have not heard from my crediters as yet.
    I have paid in all this money what for. I think I was misled from the begining as I have no assets apart from my car, now I will have to find the money myself before they start hounding me again.
    It worked in the beginning as I had a job and thought well 5 years and I will be ok back in the black so to speak, but I have been unemployed and sick and they would not reduce my payment.
    Well back to the drawing board my advise to anyone doing an IVA is dont unless your job is very secure
  • Charco_2
    Charco_2 Posts: 1,677 Forumite
    edited 29 September 2009 at 3:13PM
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    When IVAs fail, people get very black on them and curse them up and down, suggest they were misled but unless your IP wants to lose his license to practice, then he will have gone through your options with you and will have a signed Government issued form (R3) on your file to prove that you were made aware of your other options.

    If everybody had crystal balls then i guess no-one would ever make a mistake but the choice of an IVA over Bankruptcy or Debt Management is the choice of the individual. You just hope and hope then that something else doesn't come along to whip the carpet out from under your feet once you've made your decision. If you had kept your job or kept your health, finished your IVA and come out the other end debt free then it is very unlikely you'd be on here saying you were misled and you certainly wouldn't be wishing you'd gone bankrupt!

    I'm sorry it didn't work out for you. It wasn't up to the IP to reduce your payment, the only thing they could do would be to approach your creditors and ask them what they would like to happen.
    Would you ask the wolves to look after the sheep?
    CCCS funded by banks
  • peachyprice
    peachyprice Posts: 22,346 Forumite
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    Charco wrote: »
    When IVAs fail, people get very black on them and curse them up and down, suggest they were misled but unless your IP wants to lose his license to practice, then he will have gone through your options with you and will have a signed Government issued form (R3) on your file to prove that you were made aware of your other options.


    To be honest Charco, I don't believe it is the individual IP's who are doing the majority of the misleading.

    The IVA 'factories' who advertise all over the internet and TV with very cleverly worded websites and adverts, touting IVA's as the cure all, aimed at the very people they are certainly not designed to help, are the root of despair for a good many people who feel thoroughly let down by the whole IVA circus.

    I do think the IVA industry needs tightening up, for the good of people who have been mislead, and for the reputation of any decent IP's out there.

    (Do you like this colour BTW;))

    Accept your past without regret, handle your present with confidence and face your future without fear
  • Charco_2
    Charco_2 Posts: 1,677 Forumite
    edited 30 September 2009 at 10:14AM
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    Cant believe you've just gone a stolen my reply colour - I hope this hurts your eyes!

    I agree to an extent that the so called "factories" have caused problems in the industry, churning out IVA after IVA and from experience (of working with - not for) it came across that they just didn't care either way - it was a numbers game and still is! However the main problem this caused (in my own opinion) is that the banks really started to sit up and take notice of what was happening in this "growing" industry.

    One major factory shot themselves (and everyone else) in the foot with the way they bragged about growth, numbers and profits (to improve share values for a launch on the stock market) and the banks came down really hard on the industry as a whole. This then started a bit of a propaganda war. IVA factories was a phrase coined by the banks!

    The actual numbers of insolvencies didn't really grow for a long time, IVAs grew and Bankruptcies fell as people started to become more aware of the alternatives. The actual numbers of insolvencies in the UK has probably stayed in line with the state of the economy (which thanks to the banks and their greed turned to !!!!!!).
    Would you ask the wolves to look after the sheep?
    CCCS funded by banks
  • Nick700
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    Good morning,

    The IVA protocol, which a lot of the so-called "IVA factories" have signed up to, lays down the minimum standards expected from IPs dealing with IVAs. This protocol was written by the IVA standing committee, which includes Creditors, IP Firms, debtor representatives and Regulatory bodies, so takes everyone's interests into account. This protocol has been in operation for about a year now and from what I have seen, has greatly improved standards in the industry.

    I personally do not allow anyone to enter an IVA without being fully informed of all the options open to them, and if they have a change in circumstances during the IVA, I will always discuss with the client the possibility of going back to creditors to vary the payments, so that their IVA reaches a successful conclusion.

    Nick
  • peachyprice
    peachyprice Posts: 22,346 Forumite
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    Aargg, I'm blind :rotfl:
    Accept your past without regret, handle your present with confidence and face your future without fear
  • wils3957
    wils3957 Posts: 22 Forumite
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    Dodo_Donna wrote: »
    Oh dear I am so sorry to hear that happened to you!

    I am in the process of setting up with my IP an IVA proposal and I am very frightened that it will fail and the consequences of that. I have the fear bigtime despite the confidence of my IP.

    Have you any idea what you are going to do now?

    X
    D
    Unless I can find a job I have no idea, I can't raise the money to make myself BR but if I had it that is what I would do as it would be less painful down the line. You are not paying anything to your creditors in the first 2 years of your IVA anyway, I was paying out when I started mine £300 per month then when my salary increased my IVA increased to £390 I tried to get them to lower it when made redundant/sick to £290 as that was all I could afford but it was unacceptable to them. So if you have not signed anything on the dotted line yet for your IVA think about BR.
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