Debt Free Direct Over Calculate Income!!

UpToMyNeckInIt

Hi Phil,

Fair points - there are two sides to every story, and I can well believe some customers being to proud to face the 'stigma' of going BR. You will have others of course, who may be in career where going BR would seriously jeopardise their position. So I do appreciate the bigger picture.

It is of course all too easy for a customer to proclaim that they were mis-sold on open forums such as this, with the IP having no means to challenge that perspective.

as you say: 5-Year IVA, or 25 Year DMP (near enough the choice I was left with) - I would go for the IVA any day (and did so - for me it is a good product).

I think as well, that living allowances in IVA's allow a few 'luxuries' which would not be allowed in BR, so it is not all about low incomes / asset protection.

I've go no issue with my IP making a (honest) profit either, and scaling your example up to my £280pcm payment reveals a similar picture in my case (my IP seems to be a tad more expensive, but not astoundingly so). Although of course, the 'nominee' and 'supervisor' are usually one and the same person. Now, maybe I am missing something here, but with this in mind, how the various fees are distributed are neither here nor there as far as I am concerned.

Anyway, nice to hear from a representative of the IVA industry openly saying so on this board. Would be nice to see more people like you add a little 'balance' to a few of the other posts on this forum.

phil2580

Thanks for your response...it's nice not to get shot down in flames for a change.

Although the fees can differ from case-to-case, they are generally restricted as follows:

Contributions < £200pm
Nominee Fee £1,000
Supervisor Fee 15% of contributions after Nominee Fee

Contributions > £200pm
Nominee Fee 5 x monthly contributions (4 x if HSBC are prevailing creditor)
Supervisor Fee 15% of contributions after Nominee Fee

Self-employed cases are significantly different, due to the amount of work involved in managing them, and I can't really give a ballpark figure for those as each case is different.

Hope this helps

MUMZ2BEE

National_Debtline wrote: »

Hello again,

Glad you found the telephone call to ourselves useful. Out of interest, can you remember the name of the person you spoke with?

Best wishes,

David.

I spoke to a lovely lady called Ruth and I found her very helpful and sympathetic.

All I need to wait for now is for the failure certificate or letter to come through from Debt Free Direct so I can progress for the DRO which I am eligible for.

I am going to add though to my complaint to the FOS that my IVA was clearly missold to me, and that I was poorly advised and pressuriesd by DFD into accepting the IVA.

I had no idea I was eligible for the DO, so I will be asking the FOS if there is a chance I can have a refund of all the payments I made into the IVA be returned to me.

Thank you for all the help and advice.

National_Debtline

MUMZ2BEE wrote: »

I spoke to a lovely lady called Ruth and I found her very helpful and sympathetic.

Ruth's great. We both started here on the same day (way back in April '06).

I am going to add though to my complaint to the FOS that my IVA was clearly missold to me, and that I was poorly advised and pressuriesd by DFD into accepting the IVA.

It's unlikely that it'll be the FOS you'll need to go to, there's some good info on complaints right on the Government's Insolvency Service website: https://www.gov.uk/government/publications/insolvency-practitioners-guidance-for-those-who-want-to-complain

For what it's worth, it's difficult to advise whether or not any arrangement or product has been mis-sold without going in to more detail although there are a few factors that you have mentioned that would cause concern. Whilst some of our callers opt to use their DLA to pay their debts, it is generally assumed that the money should be used for health costs.

For many of our callers, an IVA is by far the very best option for them. They can be hugely effective. I do, however, think that all callers should be provided with hollistic, impartial advice so that they can make an informed choice.

Best wishes,

David.

MUMZ2BEE

National_Debtline wrote: »

Ruth's great. We both started here on the same day (way back in April '06).



It's unlikely that it'll be the FOS you'll need to go to, there's some good info on complaints right on the Government's Insolvency Service website: https://www.gov.uk/government/publications/insolvency-practitioners-guidance-for-those-who-want-to-complain

For what it's worth, it's difficult to advise whether or not any arrangement or product has been mis-sold without going in to more detail although there are a few factors that you have mentioned that would cause concern. Whilst some of our callers opt to use their DLA to pay their debts, it is generally assumed that the money should be used for health costs.

For many of our callers, an IVA is by far the very best option for them. They can be hugely effective. I do, however, think that all callers should be provided with hollistic, impartial advice so that they can make an informed choice.

Best wishes,

David.

I do generally use my DLA for health costs.

I use it to pay for dental treatment, hygienest appointments, glasses, and travelling expenses.

National Debtline put my DLA towards healthcare costs and have said I am £43 a month leftover so would qualify for a DRO.

I dont know how long the certificate of failure is supposed to take from DFD so its now a waiting game.

In the meantime, I can get up to date bank statements, and my expenditure in the vets ready.

National_Debtline

MUMZ2BEE wrote: »

I do generally use my DLA for health costs.

I use it to pay for dental treatment, hygienest appointments, glasses, and travelling expenses.

Hello again,

That's exactly what DLA is for. I personally feel quite uncomfortable when I learn of some organisations demanding that it be used for the payment of debts. Should someone choose to use their DLA for the debts is a different story - but it should be a matter of choice and not something that's forced.

I dont know how long the certificate of failure is supposed to take from DFD so its now a waiting game.

Until the IVA officially fails the creditors are prevented from chasing you, so at least you have that on your side. A DRO can take a few weeks to set up, if you haven't already done so it could be worth getting the ball rolling.

Best wishes,

David.

MUMZ2BEE

National_Debtline wrote: »

Hello again,

That's exactly what DLA is for. I personally feel quite uncomfortable when I learn of some organisations demanding that it be used for the payment of debts. Should someone choose to use their DLA for the debts is a different story - but it should be a matter of choice and not something that's forced.



Until the IVA officially fails the creditors are prevented from chasing you, so at least you have that on your side. A DRO can take a few weeks to set up, if you haven't already done so it could be worth getting the ball rolling.

Best wishes,

David.

National Debtline said they couldnt do anything until I got the failure certificate through, but in the meantime I can get what they wanted was a breakdown of the debt in total, bank statements, and vet expenditure.

I cant do anything until then but I am ware creditors cant touch me until then.

I am waiting though for Halifax to start harassing me again like they did last time.

In the meantime, I have a current account with Lloyds who are part of Halifax so I will ask them to block any attempts for money to be taken from my account.

What banks will take me for a current account because Nationwide said no due to the IVA?

UpToMyNeckInIt

Bank account options are few I'm afraid.

CoOp tend to be cooperative with their Cash minder account. Best not volunteer your iva/DRO issues. There is no requirement to do so.

Santander, Yorkshire Bank, Barclay's and Nationwide might be able to help. Alternatively a local credit union.

Failing that, you are left with the fee charging accounts with the likes of Secure Trust bank, or the card-based accounts: cash plus, clear cash, think money, etc...

MUMZ2BEE

UpToMyNeckInIt wrote: »

Bank account options are few I'm afraid.

CoOp tend to be cooperative with their Cash minder account. Best not volunteer your iva/DRO issues. There is no requirement to do so.

Santander, Yorkshire Bank, Barclay's and Nationwide might be able to help. Alternatively a local credit union.

Failing that, you are left with the fee charging accounts with the likes of Secure Trust bank, or the card-based accounts: cash plus, clear cash, think money, etc...

I went into Santander yesterday and all they could give me was just a basic account so that I can pay in money and use it for direct debits, there was no debit card facility.

I might stick with Lloyds, but I might ask them to put a flag on my account so that if my main creditor Halifax attempts to take any monies, then they will block it.

I should have done a DRO from the onsent and could have been debt free now thanks to DFD not advising me properly in the first place.

Thanks for the help on here its a good site!!

UpToMyNeckInIt

Best not mention your iva to Lloyd's either. Have t read that they are now hostile towards insolvent customers. Just cancel any relevant direct debits to Halifax.

That's the trouble with many basic accounts - cash card only, not a debit card.

If your creditors start chasing you again, just tell them that you are in the process of arranging a DRO, and they should put Acton on hold for 30 days.

Good luck.