IVA and DMP? Whats the difference 31 October 2006 at 5:01PM in Debt-free wannabe 4 replies 815 views

shayshay

Been on a DMP with payplan for the last 2 years and has gone down from 16k to 13k, so its a slow thing but better than nothing. See these adverts which state they can get the debt repaid in 5 years as they have a loophole which wipes something like 60-70% away, which all sounds great but does that mean in years to come your credit line is even worse than before, where as at least on a DMP you are paying back all you owe and therefore can at least repair your credit history?

Confused from Staines!

misscutiepie1984

an IVA tends to wreck you credit rating and is a lot more strict and also if you miss a payment you instantly become bankrupt and it also cost about 2 thousand pounds to set up..... and like bankruptcy it you have to declare it and it shows up on your credit rating as an IVA whereas DMP's come up as defaults or payment plans

hope this helps

CLAPTON

with debts of 'only' 13,000 an IVA is not really appropriate. the costs of IVA are quite high so much of your payment would go to the IP and not the creditors so they would probably wouldn't agree to it.

have you posted a SoA ..with more details it would be possible to be more specific.

shayshay

Hi Guys, on that side of things I am ok, having gone done the DMP route early last year and by the sounds of it would much rather the DMP instead of an IVA. You just see so much on TV about IVA's that people are jumping into them possibly too early?

rog2

shayshay wrote:

Hi Guys, on that side of things I am ok, having gone done the DMP route early last year and by the sounds of it would much rather the DMP instead of an IVA. You just see so much on TV about IVA's that people are jumping into them possibly too early?

Whatever you decide do NOT go to one of those companies who advertise on TV, or in the press, without first talking to CCCS or PAYPLAN, whose advice is Free and unbiased.