How do I declare bankruptcy when I have an IVA?

LavenderLamb101

Hi,
I am asking how do I declare bankruptcy when I have an IVA?
Thanks

Fighter1986

You literally just declare yourself bankrupt.

It's that simple; the process doesn't change, you just notify the court that you're currently amidst an IVA. Your Official Receiver will then contact your Insolvency Practitioner and your creditors, everything will be taken care of for you; you just have to provide details of your IP as well as your creditors on your SOA.

The second your BR order is approved you can cancel all and any standing orders / direct debits / card mandates you have to your creditors, and await further instruction from the OR. They're quite amenable, so don't panic. 

Please don't use a third party service to declare yourself BR, do it yourself directly on the Gov.uk portal.

fatbelly

Obviously stop paying the IVA and use that money to pay the £680 bankruptcy fee

You may want to take independent advice - maybe National Debtline, just to check you aren't shooting yourself in the foot. There was presumably a reason why you went for an IVA rather than bankruptcy at the outset, like protecting a property that you own for instance.

bvizion

I did exactly that. Stopped paying the IVA, informed them that I want the IVA to fail and head for BR instead. Saved the BR fee for a few months and submitted the application last month. OR only wanted to know the IVA company name, I gave her that, including IVA reference. Had no interview with OR, just few email exchanges.

LavenderLamb101

Thanks all for your help.

sourcrates

Hi,

Also please remember, you can only declare bankruptcy online, yourself.
No one else can do that for you.

LavenderLamb101

So what happens to my current IVA?
The gov website suggests you have a interview...what does this mean? If I get rejected bankruptcy do I loose the £680?

sourcrates

LavenderLamb101 said:

So what happens to my current IVA?
The gov website suggests you have a interview...what does this mean? If I get rejected bankruptcy do I loose the £680?

Bankruptcy is not something you can really fail, you make your submission online, pay your fee, job done.

You will have a telephone interview with the OR to confirm your details, debts etc, and that’s it.

The IVA will naturally fail due to non payment, everything will be wound up by the insolvency practitioner, all your debts pre bankruptcy are included.
You just allow nature to take it’s course. 

fatbelly

LavenderLamb101 said:

So what happens to my current IVA?
The gov website suggests you have a interview...what does this mean? If I get rejected bankruptcy do I loose the £680?

You are accepted/rejected by the Adjudicator based on whether you are insolvent or not (you are)

The Adjudicator then passes your file to the Official Receiver. So by the time you get the interview your bankruptcy is nailed on.

LavenderLamb101

So to confirm:
Pay the £680
Cancel IVA D/D
Wait 6 years and then apply for credit?

sourcrates

LavenderLamb101 said:

So to confirm:
Pay the £680
Cancel IVA D/D
Wait 6 years and then apply for credit?

Apply for credit ? ?

I think any thought of that would be jumping the gun.

Concentrate on the here and now, and forget credit.

Most ex bankrupts use the experiance to live their financial lives within their means, and not be reliant on any form of credit ever again.