Just entered into an IVA and worried how to tell boyfriend

Laura2018

Once again thank you for all your lovely comments! I think you are right with what you said about how being with him will help change my mindset about money. I feel like this has brought us even closer together which is lovely.

zippygeorgeandben

A cautious word though Laura - make sure you tackle the reasons you got into debt in the first place. Make sure that you tackle these debts with eyes wide open and come up with the necessary plans to pay these off and involve your partner in all decision making!
Best of luck and don't be a stranger now!

Bumblebear

I echo zippygeorgeandben's point above about addressing the reasons for overspending. Absolutely, one of the most important things.
Do have a look at some of the challenges on this board for inspiration, motivation and support - everyone is so lovely and non-judgemental.

worriedDan

Well done for speaking to your partner. You can now move forward in total openness and honesty. You will look back on this as nothing more than a 'blip;. I wish that I had opened up the lines on communication with my wife much earlier. Like you, I have received amazing support from her and this has made a huge difference to our life together.

Laura2018

Thanks again for all of your kind words! I've got a bit of a query if anyone could offer any advice?

My boyfriend has said he would be happy to offer a full and final settlement of £5000.

I emailed my consultant at credit fix this afternoon and she instantly messaged back saying this will be rejected as the creditors would take the £5000 and then still expect me to make the £105 per month payments for 5 years....

I'm quite surprised to be honest as i've read tens of messages on here saying peoples full and final offers of payment have been accepted. Would anyone be able to offer me some advice on how to pursue this?

My total debt is around £20,000 and I will be paying £104 a month for 5 years into the IVA so that would be a total of £6240.

I've pointed out to my advisor that surely the creditors would be better to take the £5000 and settle the IVA now as you never know whether my IVA might fail or my circumstances might change....

sourcrates

Laura2018 wrote: »

Thanks again for all of your kind words! I've got a bit of a query if anyone could offer any advice?

My boyfriend has said he would be happy to offer a full and final settlement of £5000.

I emailed my consultant at credit fix this afternoon and she instantly messaged back saying this will be rejected as the creditors would take the £5000 and then still expect me to make the £105 per month payments for 5 years....

I'm quite surprised to be honest as i've read tens of messages on here saying peoples full and final offers of payment have been accepted. Would anyone be able to offer me some advice on how to pursue this?

My total debt is around £20,000 and I will be paying £104 a month for 5 years into the IVA so that would be a total of £6240.

I've pointed out to my advisor that surely the creditors would be better to take the £5000 and settle the IVA now as you never know whether my IVA might fail or my circumstances might change....

Unfortunately it does not work like that.

The offer would be deemed a gift or a windfall (check the windfall clause of your agreement) there is no reason why you cannot pay you see, if you lost your job, or had your hours drastically cut at work, then they may concider the offer, but as that's not the case, the money would be claimed for the benefit of your creditors (again read your paperwork).

Your IVA is a formal insolvency solution, you effectively are owned by your creditors whilst your in the arrangement, and for sometime after it ends.

If you wanted to settle early, you would have to pay at least, the full outstanding debt plus all your IP's costs and fees for setting up the arrangement, that's a few thousand just in fees.

I doubt very much your payments will stay at £104 for very long, in year 5 especially, if your not a homeowner, you may have to pay an extra year of payments, as homeowners are expected to remortgage for the benefit of there creditors.

I really don't think anyone has fully explained your commitment here, or how an IVA works.

Are you positive your payment is only £104 a month ?

I can't see we're the IP's fees will come from ???

January2015

I know very little about IVAs. I just wondered whether as the OP has only just entered the IVA whether there is some sort of cooling off period in which she could withdraw from the IVA - especially if the creditors have not yet formally agreed to the proposals. Perhaps then she could approach creditors with F&Fs.

Just a thought - and may not even be possible. I'm sure someone who knows about IVAs will advise shortly.

ToxtethO'Grady

If the meeting of creditors has taken place the OP will be in the IVA. It's up until then when the proposal is being finalised that you can pull out.

sourcrates

ToxtethO'Grady wrote: »

If the meeting of creditors has taken place the OP will be in the IVA. It's up until then when the proposal is being finalised that you can pull out.

After the creditors meeting you receive a copy of the final proposal to check and sign.

Once you've done that you are legally bound by the terms of the IVA, which is why it's sooo important to read and understand them.