IVA - what happens if your income decreases?

MandyG_3

hiya

we started our IVA in january - total debt almost £50 000 and over the 3 years we are to pay back £290 a month

thing is myhusband has been off sick since march but we were advised my my parents not to tell our IVA people (they think we should try and pay the IVA no matter what with their help)

we are seriously struggling as we are £700 down a month, we are waiting to hear about IB just now.

what happens if you cant afford to pay the IVA for a bit?

do they just cancel the whole thing and you are back to square one where the creditors are concerned?

or do you just claim bankrupcy instead?

if we went bankrupt would we have to sell our house? the IVA let us keep it as we have 2 small children, although my mum and dad had to pay a third party amount to cover the equity iykwim?

I hope I made sense, they just didn't seem to explain anything to us when we went for the IVA, now realise it may all have been sales talk, cause at the end of 3 years I think £10 000 goes to the IVA people and pennies go to the creditors.

gettingitsorted

Hi Mandy

the best advice would be to talk to one of the free debt charities as we have found alot of people have been missold IVA's .

your local CAB
www.payplan.com
www.cccs.co.uk
http://www.insolvency.gov.uk/
http://www.nationaldebtline.co.uk/

rach7256

Hi,im Also In An Iva 3 Yrs In But 6 Yrs To Pay In Total As We Have Shared Ownership House So Cant Remortgage.my Hubby Is Facing Imminent Redundancy In Approx 2 Months.we Have Already Had Our Payments Reduced So They Wont Do Tht Again.i Have 2 Kids And Am 6 Months Pregnant...im Unsure What To Do Either.we Also Pay £290.monthly.will The Iva Take His Redundancy Payout.