Newbie panicking

spliced

Hi

Me and my husband have just over £27000 of debt. This was a loan and 2 credit cards, and a couple of other things.

He wanted to get an IVA, so we went ahead and did this with the CCCS. We are now paying £470 a month whereas previous we were paying out around £800 a month.

At first it felt like ' yes we can breath again', but a couple of our creditors do not accept the amount offered per month and so we are still getting loads of letters off them.

I have another letter today of a diferent company saying if I dont pay them arrears within 7 days, bailiffs will be sent from an external debt collecting agency.

Whenever my husband calls the CCCS about the letters etc, they tell us not to panic and that when it gets passed to external companies etc, let them know and they will pay them the same amount, but I cant not panic, its all I think about. I dont want bailiffs coming around and I am so stressed because of this.

Is it normal to keep getting these letters, am I overreacting?

ps - glad I found this website - It looks helpful.

althas

Hi Spliced

Could you answer please for clarity

Are you sure you have an IVA and not a DMP? (Debt Management Plan)

It is just that CCCS do not actually do IVA's, they will refer you to a sister company who will draw the papers up for you. Also if you DO have an IVA, then ALL creditors are legally bound by it, as long as 75% of the creditors in VALUE voted in favour of it at the meeting

So if you, say, had 3 creditors. Creditor 1 owed £21,000, creditor 2 owed £10,000 and creditor 3 owed £9,000. As long as creditor 1 and 2 vote yes, then it doesnt matter about creditor 3. Even if they vote no, they will still be legally bound by the IVA

Check your paperwork to clarify exactly what type of plan y0ou are on, and let us know

spliced

Thanks for the quick reply

yes it is a DMP, sorry

My husband was talking about getting an IVA and I got so stressed out that I just let him get on with it.

Thanks

Charco_2

A DMP Is another matter altogether. It is an INFORMAL arrangement and no-one is legally bound by it.

Now I can't say I know a huge amount about this BUT you may be better going over to the DebtFreeWannabee board. Post up exactly what you posted before *but change the IVA bit over to a DMP* and ask for some advice... plenty of brainiacs over there to help you!

They can advise you on your debt problems and your potentail bailiff threat... if you decide to investigate your options in an IVA then feel free to discuss that here.

Oh, wouldn't worry too much about the bailiffs... unless it's council debts then they're just debt collectors not bailiffs, and therefore have no-more power than a nosey neghbour!

spliced

Thanks Charco, will go and post where you said