withdrawal of credit due to DMP/IVA?

london1973

Is it possible that existing creditors will withdraw facilities if you go into some form of repayment agreement- by which i mean will my bank remove my overdraft facilty? i was also hoping to keep one credit card, with the lowest balance and limit, just for emergencies, - i.e leave out of the agreement..can that work or am i missing the point here?

Sorry probably rather odd questions but i’m pretty naive here! 

Grumpelstiltskin

The whole point is learning to live without credit.

That is why it s always suggested that you have an emergency fund before you start a DMP then if the washer packs up, the car fails it's MOT  you have the cash to pay for these things.

london1973

I understand that! However the o/d facility specifically is useful and is very small, and i would like to keep it- the credit card is fine to lose- but the question was is it possible to ringfence certain debts and keep out of DMPs/IVAs - so you can continue to use any headroom, or is it a all or nothing thing?  AND/OR if you enter an agreement will they be withdrawn anyway? I.e because it’s on public record etc ? Similar to bank accounts being closed in bankruptcy

i’m really just looking to understand everything at the moment - 

sparks_2023

My understanduling is that In a self managed DMP you are in charge of which debts you choose to default and include in it.

Grumpelstiltskin

I don't think you have had your lightbulb moment yet and I don't think you fully understand what getting out of debt means.

You need to think very seriously what your way forward is with no access to credit, you can't just pick and choose  with an IVA.

Keeping one credit card open is the top of a slippery slope, there will always be an emergency and you will be back in 18 months time with double the debt.

Grumpelstiltskin

Looking back at some of your old threads you appear to have been bankrupt once before, so it appears you haven't learned anything from this and saying you are naive is an understatement.

london1973

Well you’ve kind of answered my question in and amongst your rather thinly veiled unpleasantness so i suppose I’ll thank you for that - why people can’t just answer the question (or obviously don’t) rather than use any opportunity to cast aspersions with, of course, absolutely zero knowledge of any background or particulars, is beyond me.

Your name is very fitting, and i suspect my thoughts of the type of person sitting at your computer are very accurate

RAS

If you do an IVA, you can't access any credit without your IP's permission. And it's extremely unlikely any creditor will let you keep a line of credit.

Floss

london1973 said:

...amongst your rather thinly veiled unpleasantness so i suppose I’ll thank you for that...

Your name is very fitting, and i suspect my thoughts of the type of person sitting at your computer are very accurate

That unpleasantness was not particularly veiled. Please be polite, even if other posters appear brusque. 

london1973

Fair enough, i apologise, i don’t know how to link people in to posts so i hope he/she sees this. That line was uncalled for

I do however feel posts need to be more sensitive and less judgemental, generally people come here when things are bad, probably stressed and anxious too, so knee-jerk reactions are i’m afraid possible

Floss

london1973 said:

I do however feel posts need to be more sensitive and less judgemental, generally people come here when things are bad, probably stressed and anxious too, so knee-jerk reactions are i’m afraid possible

That's fair enough, but you have been in this playground before - and your bankruptcy only dropped off your credit record 15 months ago. To be back in £40k of debt again within 8 years of being made bankrupt for whatever reason, suggests that basic budgeting advice is not being taken & used.