IVA who doesn't charge over the odds & can you have a joint one?

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Hi

i think we have made our decision on this that we have to find an IVA for both myself & hubby. The debts with personal guarentees from our business top over 60k and where we have supported the business our debts are around 120k.


we need to protect our home for my 2 disabled children so bankrupcy isn't an option.

There is also the issue of the 2 endowment policies as well.

Can we do a joint one or has it got to be indivdual ones ?

I am also concerned about the fees charged so want something that isn't too pricey but at the same time understands our family situation.

After reading some scare stories on the board I want to make sure we get the right one.:mad:

Comments

  • lou756
    lou756 Posts: 31 Forumite
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    My advcie would be to try and talk to a range of IVA providers before you decide: start with the not for profit oragnisations like CCCS(VA) and Payplan. Talk to some of the commercial companies too especially about the timescales to act and draw up proposals for you that they can offer. You should be able to get everyone to tell you about the fees they would charge upfront and before you decide.

    Be aware that some commercial companies (but not all) may be a bit pushy in wanting to sign you up. Don't pay anyone for any advice until you have had a chance to think through and compare what they can all offer you. You shouldn't need to pay any fees for anything until after an IVA has been agreed and is in place.

    Good luck, I'm sure someone else will be along to answer your other queries too.
  • Charco_2
    Charco_2 Posts: 1,677 Forumite
    edited 12 November 2009 at 2:35AM
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    The important thing is that you dont pay anyone a bean until they've put a solution in place that YOU HAVE ASKED THEM FOR...

    All you're interested in is a fact finding mission!

    Unfortunatley no IP will be able to tell you in advance how much theor services will cost... no, not even the CCCSVA people. It's charged on an hours per service scale type thing.

    The fees are worked out
    1. Nominees: work done in researching, verifying and producing an IVA proposal
    2. Supervision: work done monitoring the IVA over the course of it's existence (generally an annual fee probably for five years)

    However, that said, you are only expected to pay a figure you can afford, calculated from your monthly income and expenditure, and the fees are taken from this. Your IP should not issue you with a separate bill, or an upfront fee.

    If you can afford £200 a month, then that's all you'll pay.
    If you can afford £1000 a month then that's what you'll have to pay.
    You pay for 60 months and your IP's fees come out of this, they are not a separate bill on top. Your creditors negotiate the fee, not you. You only pay what you can afford to pay.

    The reason an IP's fees vary is because your creditors will only want to pay a percentage of what may be recovered within the terms of the IVA proposal. (An IP will charge for the hours spent working on your case, your creditors will only want to pay a percentage... it's all about finding an agreement in there somewhere - it doesn't affect the viability of your IVA)

    I hope this is of help to you
    Would you ask the wolves to look after the sheep?
    CCCS funded by banks
  • lou756
    lou756 Posts: 31 Forumite
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    Stressed Mummy.... listen to Charco, who gives very sound advice and knows much much more than me. Advice from Charco and another poster Narglebalst pretty much saved my sanity ( and I exaggerate not!) a little while ago when I was in your position. Apologies if my reply misled: perhaps what I should have said was that in my experience was that if you keep on asking enough questions most potential IP providers will give an idea of what they typically look to keep from your initial monthly repayments (which will be different for each person.)
    All best wishes
  • memberme
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    I hope you got my reply...let me knwo if you didn't
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