We’d like to remind Forumites to please avoid political debate on the Forum.

This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.

📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide

IVA's - what happens if ...

If your creditors do not accept your initial pro-rata offer - as obviously if you go down the IVA route they would surely be offered the same amount.

Has anyone got any experience of if your creditors have refused your pro-rata payments, but when doing an IVA have then accepted them?

Trying to work out what my creditors might do (6 creditors - 1 has accepted p/r payment, 2 have not and 2 not heard at all)
Lightbulb moment - 30/06/06 :eek:

Total debt at lightbulb moment (June 06) - £46042 :eek:

Comments

  • Does no-one know?
    Lightbulb moment - 30/06/06 :eek:

    Total debt at lightbulb moment (June 06) - £46042 :eek:
  • Talheedin
    Talheedin Posts: 21 Forumite
    I'd like to know this as well what with my CCCS interview comming up and being a wee bit concerned and all.

    Talheedin
  • james32_uk
    james32_uk Posts: 1,223 Forumite
    IVAs are a different kettle of fish. Talk to your IP and they will be able to give you an idea which of your creditors would accept what. I know HSBC have recently insisted on a minimum of 35%!!!
    Debt as at 12th July 2006 - £61,345 :eek: :eek: :eek:
    Debt free 21st Oct 2011.

    All thanks to :money:
  • james23_uk wrote:
    IVAs are a different kettle of fish. Talk to your IP and they will be able to give you an idea which of your creditors would accept what. I know HSBC have recently insisted on a minimum of 35%!!!

    Thankfully I dont have any with HSBC - when you say a minimum of 35% is this the money you have left over to pay between your creditors or that HSBC want 35% of your total money!
    Lightbulb moment - 30/06/06 :eek:

    Total debt at lightbulb moment (June 06) - £46042 :eek:
  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    10,000 Posts Combo Breaker
    it would probably be best if you posted your SoA here...its rather difficult commenting on theoretical situations.

    but in general DMP and IVAs suit different situations and have different acceptance criteria...e.g. an IVA might consider the equity in your property whilst a DMP usually doesnot.

    a previous poster has mentioned 35% ....this refers to the 'return' that your creditors will find acceptable to vote in favour of your IVA....they would do a calculation of the total return i.e. sum of your monthly payments over (say) five years plus equity release and this should be at least 35% of the debt (bare in mind that IP charge quite a lot of money so the net return to the creditor is less than you pay out).



    y
  • james32_uk
    james32_uk Posts: 1,223 Forumite
    Beware of IVAs as they are only one step from bankruptcy and are a serious legally binding agreement.

    See my post here for how my IVA worked for me.

    http://forums.moneysavingexpert.com/showthread.html?t=237135
    Debt as at 12th July 2006 - £61,345 :eek: :eek: :eek:
    Debt free 21st Oct 2011.

    All thanks to :money:
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 354.2K Banking & Borrowing
  • 254.3K Reduce Debt & Boost Income
  • 455.3K Spending & Discounts
  • 247.2K Work, Benefits & Business
  • 603.8K Mortgages, Homes & Bills
  • 178.4K Life & Family
  • 261.3K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.7K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.