Quick/Lump sum IVA any advice?

Copperfish

Hi,

As posted on the debt free wannabe board my OH and I have about £110K in unsecured debt, the usual suspects of loans and credit cards. I also owe the Inland Revenue about £10K and will owe them another similar amount come end of this month.

We've been looking at IVA's & BR as possible options. Has anyone heard or used or done a quick or lump sum IVA with success. It was explained to be me by the advisor I spoke to at Debt Lifeboat that basically you agree a lump sum payment to your creditors (he reckoned £40k min in our case) and then you promise to pay that money at the end of 12 to 18 months.

Any thoughts advice? People seem very down on IVA's on the forums in general. Some people must have had success with them.

struggler

I have just done a full and final settlement of 23p in the pound for a similar amount, and also included the revenue. They accepted it, and I paid half with the other half due in 12 months time. It seems the best way provided you can get some cash and means its all over after a year. I had a very good IP draft the proposal, which is crucial. Have not heard how good Deby Lifeboat are.

Copperfish

Thanks for your reply struggler.

For us do to it would mean selling the house. We don't live in it at the moment anyway. It all depends on the valuation we can get for it.

It would be great to get it all done and dusted in a year or 18 months.

Charco_2

It would depend on how much surplus income you have also!

Living_in_a_duckhouse

Hi Copperfish,

How did your IVA go? I hope it went well. Did the bank agree to the amount that you offered to pay?

Struggler, what was the name of the company you used? or IP? Do you have a copy of the paperwork so that I could have an idea of what it should look like. (with all personal details deleted)

It's just I'm looking at doing the same thing and although I don't have the £24,000 that would be required for 24p in the pound my kids are putting it together for me. It all happened because I got sick and they refused to pay out on my PPI but they were all still charging me it.

I am a home owner but with the house prices down i'm in negative equity in my house because I've already remortgaged. I have some secured loans on the house as well, I'm not sure whether that would effect anything.

To be honest one lump sum and a year seems like the best option.

Max_1066

I'm looking at a similar thing as I've no surplus income. The problem seems to be what amount to offer which seems to vary dependent on the IP/company one asks.

In my case I owe £52k and the lump sum suggested has been £12k, £16k and even £20k. My suggestion therefore is to consider this amount carefully although in your case having the IR involved could be more tricky.

Good luck.