on way to IVA ?

anna_1977

MURPHY29 wrote: »

thanks I will change the soa


Not at all - 2 fab kids aged 21 and 18

Are the kids still in education? can they contribute at all?

fatbelly

OK - you've got a bit more debt and a bit less income than I had hoped!

I can see why a website (Debt remedy?) would recommend an IVA and one could be the way forward. However...I wouldn't rush into one.

I think it is inevitable that you will have to default on things. I imagine several of those cards are maxed out and your overdraft is near its limit.

If you haven't actually yet missed payments then you may be able to get on a better mortgage deal before your credit history plunges.

You will soon need a new bank account for your income NOT connected to Lloyds. Again, the better ones are probably still open to you but may not be in a few months.

Then you need to stop paying the non-priority creditors (everyone in your unsecured debt list) and build up an emergency fund - 2 months should do it. I would recommend starting with a non-fee-charging debt manager like Stepchange or Payplan.

Also consider terminating the HP agreements at the 50% point if you can find any other way of keeping mobile.

At that point the choice would appear to be between an IVA and continuing with a dmp. Your partner will need to know about all this.

The problem I see most often with IVAs (apart from ridiculous ones like the guy on benefits with 4k of debt) are if people want to move house during the possibly 6 years of an IVA,. I also had problems with an elderly person dying mid-IVA and spouse not being able to downsize due to the restriction on the property. They can work well but it's a more formal solution than a dmp.

System

I just wanted to say well done for getting here and posting.
There's definitely no need to panic.
It's worth checking out the diary section as there is some inspiring stories there.
And the DMP thread is a great way to get a sense of what to do and see how people have properly sorted things out.

I think you mentions that your DH doesn't know the extent of your debts? It does feel like this may be the first major hurdle you need to tackle.

Big hugs keep posting.

MURPHY29

Thank you all for the advice I really do appreciate it.


Anna, both kids are students


Ramblehan, thank you - I do feel better just by writing it all down, I have the worst to come and also have to face telling OH, but it helps reading other threads with real people and similar circumstances. I'm so worried but I have to face up


Fatbelly, thank you, you've given me lots of answers, I am looking at bank accounts now and I will gather everything and speak to stepchange


My questions now are If I was to take an IVA - when the term is finished will they force a re-mortgage or sale for any equity that may be in the house?
The HP on the vehicles are both in OH name and he pays those - will that be a problem to him?