IVA help wanted please

pdnw

Hi all,

Am new to this forum and would like to get some advice and help I need for my IVA.

In July 2010 am going into my 4th year of my 5 year IVA. In the last year am running into problems paying my monthly payment of £339.00. I have not missed any payments but am getting loans from family and friends to make this payments.

I have asked the company about lowering the payment to about £200 per month for the last 24 months but no joy.

I have also chatted with the local CAB and they told me to get statements off all the payment I made from the start of my IVA and a statement off all payments made to my creditors and the balance remaining. They also said I should stop payments and default on my IVA with could lead to BR.

I have paid over £12000 and have around another £9000 to pay.

I work full-time and have two young kids, i don't own my home or anything.

Anybody have any advice......

Thanks for listening.....

Max_1066

Hi,

Obviously you don't give any financial details however if you don't own any property or have any significant assets then why not consider the BR route as suggested by the CAB ? Be sure to check this won't affect your job though.

Have you spoken with the CCCS or someone similar to get another view. Your IVA company have a vested interest in you continuing the IVA so they get paid - their advice is therefore going to be biased.

BR isn't the big issue it used to be and it only lasts for 3 years.

Good luck.

Max_1066

Just read the post above again .....

Borrowing money to pay off the debt isn't the best plan. It might seem like a solution however you'll just end up paying out money you don't have (or have borrowed). It really isn't a good idea as it doesn't solve the real problem. Sorry to be harsh.

althas

TALK to your IP. You should have regular reviews with them (annual at least) to go over things. Changes in circumstances, wage increase/decrease, cost of living changing etc. They have a certain amount of authority to vary the IVA by a certain %, after that they will call a new creditors meeting to vote on the change. Also they could look at reducing the payment but extending the term upto another 12 months

There are things they should look at before they just say no, talk to your IP (not one of their "underlings"). They have options

pdnw

Thanks everyone

debtinfo

Max_1066 wrote: »

Hi,

Obviously you don't give any financial details however if you don't own any property or have any significant assets then why not consider the BR route as suggested by the CAB ? Be sure to check this won't affect your job though.

Have you spoken with the CCCS or someone similar to get another view. Your IVA company have a vested interest in you continuing the IVA so they get paid - their advice is therefore going to be biased.

BR isn't the big issue it used to be and it only lasts for 3 years.

Good luck.

Just to point out that bankruptcy lasts for 1 year not 3, sometimes less. I think you are thinking of an IPA in the bankruptcy which may or may not happen and is variable depending on the bankrupts circumstances

Max_1066

Thanks for the clarification 'Debtinfo'

pdnw

I got an email from my IVA company with the details of my payments and the money they paid out. I see that in almost 3 years i have just paid under £12,000 and they have only pay 50% of that to my criditors. What have they done with the other £6,000?
I also got two letters from a debt collecting company. I didn't know what it was about so I rang them, they told me that one of my creditors sold the my loan agreement and did tell them I was in a IVA, they also said they hadn't been getting money in months.

Does this sound normal to anyone or am i getting messed around?

Deep_In_Debt

pdnw wrote: »

I got an email from my IVA company with the details of my payments and the money they paid out. I see that in almost 3 years i have just paid under £12,000 and they have only pay 50% of that to my criditors. What have they done with the other £6,000?
I also got two letters from a debt collecting company. I didn't know what it was about so I rang them, they told me that one of my creditors sold the my loan agreement and did tell them I was in a IVA, they also said they hadn't been getting money in months.

Does this sound normal to anyone or am i getting messed around?

I should imagine that the 6k would be IP fees. Did they not let you know what the fees would be when you took out your IVA?

I'd speak with your IP regarding why the creditors are not getting their money as this doesn't seem right.

Charco_2

The debt collectors have no right to contact you and you should remind them of this next time they try.

It would be normal for the money in an IVA to be stored up and paid out at intervals rather than paid out on a monthly basis as and when received. Your IP is probably paying out to the owners of the original debt rather than the debt collector who bought the debt... this is not something for you to sort out so refer it to your IP (although it's really up to your former creditor and the debt collector to sort out between themselves)