IVA Help

simonk243

Hello.
I am currently two and a half years into a 5 year IVA. I have a few questions.

1. Recently I have been approached by a company "Consumer Credit Action" I think they are called, saying I may have been miss-sold my IVA, and they will help me go Bankrupt and save me lots of money. They say for £208 a month for 6 months plus a one of fee of £500 they ll get me out of my IVA and after around 8 months I will have no more money to pay etc. Are these companies legitamant firstly, and is it worth considering.

2. I have reduced the amount I pay by standing order to the IVA company on a number of occasions as I needed the money for things. In total I maybe around £500 behind, but they have never said anything.

3. Around a year ago now I reduced my hours at work due to ill health. I lost quite a bit of money but I have been helped out by my Partner (I couldn't afford the payments without there help) I have not informed the IVA company about any of this, I know I should of.

I know I am not in a good situation and should of spoke to them straight away but left it longer and longer. What should I do now?

Thanks In advance.

Charco_2

Firstly, I wouldn't give Consumer Credit Action the time of day! Predators and lowlifes!

There are a number of these companies around (and a number that have been closed down too). They get your details off the Insolvency Register where your name and contact details are there to be seen free of charge and no hassle and then they contact you to say they think you may have been mis-sold an IVA... at the time of the phonecall they have no idea! The only thing they know about you is that you HAVE an IVA, they do not know any of the details of your case!

However if YOU feel that your IVA no-longer suits your situation then by all means take action. (I don't particularly believe in large scale mis-selling but certainly situations can change). If you wish to "get out" of your IVA then simply stop paying into it, your IP will fail you after three missed payents! Hey-ho, i've now saved you 6 x £208 = £1,248 (no, don't thank me, and don't feel under any obligation to send me a cheque)

I can't save you the £500 though - that's roughly what it will cost to go Bankrupt! (£511 i think... but you can ask to have some of this waived if you can't afford it)

It is highly unlikely that your IP will pursue bankruptcy against you if your IVA fails (the creditor's will simply want to collect the money you've already paid in and then return to harrassing you for the rest)

So I'm not saying go Bankrupt and I'm not saying stay in your IVA - all i'm saying is dont go with CCA and certainly don't pay a company to help you go bankrupt.

If you're consistently now earning less than when the IVA was drawn up then yes i think you should tell your IP. You'll not get in trouble for having not told him sooner, it's nice that your partner is willing and able to help you out a bit but it might be easier to just have your contributions altered to suit your situation a bit better...

So speak to your IP, tell him you're struggling and see if there is anything to be done. Ask him about Bankruptcy too coz he'll know about it and should be willing to discuss it.

Good luck