Do I do a DMP

Paspatur

I do eat well and I am debt and mortgage free so this is not done deliberately to save money it is just what I spend

I eat lots of prawns, fresh and tinned fish, meat, eggs, cheese, pulses, veg, yoghurt
I tend to buy tinned and frozen fruit as I find most shop bought fruit tasteless

I do not buy ready meals or other processed food, fizzy pop, cakes, biscuits or confectionery

Lots of home made soups, stews, fishcakes, stir fry, salads

I think the main reason is that I am not a big eater so a little food goes a long way

I never have desserts or snack between meals

My fish and meat are delivered to my door by the fishmonger and the butcher not supermarket bought

Wannabehousebuyer

Payplan have suggested an IVA 
I dont know how i feel about this

fatbelly

Wannabehousebuyer said:

Payplan have suggested an IVA 
I dont know how i feel about this

What are they suggesting as a monthly payment?

Your soa showed you had not a lot available.

Wannabehousebuyer

fatbelly said:

Wannabehousebuyer said:

Payplan have suggested an IVA 
I dont know how i feel about this

What are they suggesting as a monthly payment?

Your soa showed you had not a lot available.

£50 per month payment over 5years. 

I am worried that when i am getting normal commissions i have to give them 50% however £50 a month rather than 34.8 years in a dmp seems attractive, just means i cannot move if i need to. 

Just trying to weigh it all up in my mind- IVA just sounds scary 

fatbelly

It's not necessarily a bad option if they can pull it off but to me it seems overkill to try such a formal option for 30k of non-priority debt

Wannabehousebuyer

fatbelly said:

It's not necessarily a bad option if they can pull it off but to me it seems overkill to try such a formal option for 30k of non-priority debt

can pull it off? what do you mean?

they basically said that DMP/ previous suggested "ignore for a bit then get back on track" would be longer to pay back and pay the full amount - and would affect my credit file for same amount of time so why not was basically payplans answer. they said i was prime candidate for bankrupsy should i have not had a mortgage? Who knows!!#

i'm so lost!

RAS

Hi, let's step back a bit.

Have you cleared all the essential debt? 

And have you got your emergency fund built up yet?

No need to rush into anything until you've sorted those out.

And do you understand about full and final settlements?

Wannabehousebuyer

RAS said:

Hi, let's step back a bit.

Have you cleared all the essential debt? 

And have you got your emergency fund built up yet?

No need to rush into anything until you've sorted those out.

And do you understand about full and final settlements?

I have agreed with my mortgage company that i will pay the 450 arrears over next 3 months to get me back up to date.

My h/a said £50 per month is all they would require, they would rather i focus on getting myself and mental health back on track than breaking my self to clear the 2k arrears (bearing in mind, my deal end on my mortgage, this will be cleared for then)

I have put £350 away this month towards EF

Yes, however nothing has defaulted as of yet, as i wouldnt be able to- i have 1/2 missed payments on most things.

The lady at payplan said that if i default on debts, then that says on my record for 6 years anyway so i may as well IVA as the outcome would basically be the same. But in that case i would pay £10k on the IVA rather than much higher?

Is that right, or have I miss understood? 

Sorry for all the questions, its all a bit overwhelming with all the information

RAS

Did the lady at Payplan also explain that at the end of 5 years, they can require you to release any equity in your house towards the IVA.

When people have joint mortgages, it's fairly easy to refuse and pay an extra year towards the IVA.

And if you get back on track to earn commission, a lot of that could go towards the IVA?

RAS

If you get back on commission, you could be paying off £12k per year, based on your previous salary?

So you'd end you paying back the full debt plus the £9k IVA fees.

I really would suggest you give yourself space this next year to grieve, set up a really good emergency fund and then start working out whether you can get back on commission.

Rushing this could be a horridly expensive mistake.

And look at whether you can provide an occasional bit of sofa space for wee bro in the holidays, if he behaves?