I need some help with my debt please and some advice.

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Since last year I have been in an iva but I stopped paying it in March this year because they told me I could still get credit but they lied.
Then they told me not to say that I had mental health issues because I wouldn’t have got the iva so they are breaching their contract aren’t they ?
I thought iva was my only way out of my debts .
please could someone explain and help me out with this matter. 
Kind regards 
Rachel xx

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  • EssexHebridean
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    Since last year I have been in an iva but I stopped paying it in March this year because they told me I could still get credit but they lied.
    Then they told me not to say that I had mental health issues because I wouldn’t have got the iva so they are breaching their contract aren’t they ?
    I thought iva was my only way out of my debts .
    please could someone explain and help me out with this matter. 
    Kind regards 
    Rachel xx
    OK - disregarding every other aspect of this there are huge alarm bells ringing as a result of the bit I've highlighted in bold.  If you want to sort out your finances and clear your debts, and remain debt free for the future, the ONLY way to do that is to get a good solid budget worked out, and live within your means. That it sounds like you are in a position when in spite of being in an IVA you are looking to use credit suggests that this currently isn't happening, and that is going to give you problems. 

    Can you give a little more detail on who the IVA is with and who suggested it as the only solution suitable for you? what were the reasons that a dmp, for example, was dismissed as an option. 
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  • Rachel10876
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    I have also tried a debt management plan but it didn’t work out. The IVA is with a company called Creditfix which has charged me 2000 for my iva all my debts have been nearly wiped and I’m paying the money that they have charged me over 6 years which I’m not happy about. 
    Been down the step change route but that was a waste of my time.
    Was thinking about bankruptcy but I do Park Christmas savings and I do avon in my spare time so couldn’t go bankrupt because they are cash accounts. That’s what I was told anyway. 
    Xx
  • Grumpelstiltskin
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    'Was thinking about bankruptcy but I do Park Christmas savings and I do avon in my spare time so couldn’t go bankrupt because they are cash accounts. That’s what I was told anyway. '

    Who told you that?

    Why was a DMP no good?

    More  details please
    If you go down to the woods today you better not go alone.
  • fatbelly
    fatbelly Posts: 20,674 Forumite
    Name Dropper First Anniversary First Post Cashback Cashier
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    I don't know if your IVA is terminated yet. 6-12 months of non-payment is typical before they get terminated. While it's live you are still protected.

    What I advise then is to sit back and see who writes.

    You will find some creditors drop off the radar completely and some will have sold the account to debt buyers.

    Keep a record of who writes and how much they say you owe. You probably won't find much if anything has been taken off as creditfix will have retained most of your payments for their fees.

    Now normally I would say to contact stepchange because you would be suitable for a debt management plan or a DRO but I understand that you don't want to do that. There are other options so maybe post again when you think everyone has contacted you that is going to.

    I think in your case the first thing to try is write-offs due to mental health. But as I say, collect the info first
  • sourcrates
    sourcrates Posts: 28,987 Ambassador
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    edited 26 September 2022 at 11:21AM
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    An IVA is a formal insolvency solution, the fact you are looking to take out credit whilst in one, is a tad worrying.

    From what you have posted its very clear you were unaware of what you were signing up to, unfortunately this happens a lot, where IVA`s are concerned, there is precious little in the way of regulation, so they are mis-sold on an industrial scale, as the seller (the IP) benefits from the fee`s they can claim for administering your account.

    Again, I`m with fatbelly, wait and see who writes to you, then take his advice with regard to write off`s.
    I’m a Forum Ambassador and I support the Forum Team on the Debt free wannabe, Credit file and ratings, and Bankruptcy and living with it boards. If you need any help on these boards, do let me know. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com. All views are my own and not the official line of MoneySavingExpert.For free non-judgemental debt advice, contact either Stepchange, National Debtline, or CitizensAdviceBureaux.Link to SOA Calculator- https://www.stoozing.com/soa.php The "provit letter" is here-https://forums.moneysavingexpert.com/discussion/2607247/letter-when-you-know-nothing-about-about-the-debt-aka-prove-it-letter
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