Urgent Debt Advice

RAS

Do not even think about an IVA. They are very rarely a good idea for people with a lot of debt and large assets to protect.

The fees are likely £9k if you've spoken to an introducer. The OR pays themselves before paying the creditors.

You don't owe enough.

You have no assets to protect in theory, but there may be a beneficial interest.

You can't include either of the debts owned by your partner.

IVA budgets are less generous than bankruptcy, DRO or debt charity run DMPs and inflexible.

You need a stable family income, for the next 6 years.

You are stuck for the next 6 years with a repayment that can only be altered by 10% without another creditor meeting. That's unlikely to happen because the provider doesn't want the hassle or expense.

One third of IVAs fail. People then often end up doing DMPs for almost as much as they first owed, because their fees have only paid the OR.

Callum1510

RAS said:

Do not even think about an IVA. They are very rarely a good idea for people with a lot of debt and large assets to protect.

The fees are likely £9k if you've spoken to an introducer. The OR pays themselves before paying the creditors.

You don't owe enough.

You have no assets to protect in theory, but there may be a beneficial interest.

You can't include either of the debts owned by your partner.

IVA budgets are less generous than bankruptcy, DRO or debt charity run DMPs and inflexible.

You need a stable family income, for the next 6 years.

You are stuck for the next 6 years with a repayment that can only be altered by 10% without another creditor meeting. That's unlikely to happen because the provider doesn't want the hassle or expense.

One third of IVAs fail. People then often end up doing DMPs for almost as much as they first owed, because their fees have only paid the OR.

thanks for this so would you suggest a DMP? Are there any companies that can help me set this up initially?

I just dont want all the contact from creditors when i default.

thanks

Grumpelstiltskin

You should not set up  a DMP until your debts have defaulted, you still seem to be wanting to rush into things, debt collection moves slowly, if you do rush you will make mistakes.

You  can block all numbers you receive calls, texts and E Mails from you only need to look at letters sent by snail mail so slow down and let things move at their own pace.

Callum1510

Grumpelstiltskin said:

You should not set up  a DMP until your debts have defaulted, you still seem to be wanting to rush into things, debt collection moves slowly, if you do rush you will make mistakes.

You  can block all numbers you receive calls, texts and E Mails from you only need to look at letters sent by snail mail so slow down and let things move at their own pace.

thankyou i will wait for the defaults and then get advice off you guys once i start getting them...thanks for all your help

ManyWays

An IVA is a form of insolvency, you should avoid it if you don't need it. At the moment you don't know what your finances will look like in 6 months as you no longer have to poay this £600 a month to the loan and your partner is starting work and some debts may fall if you win affordability complaints. That is a lot of potentially big changes, so dont rush into an IVA until this is all clear, as its very possible you may not need one. 

Callum1510

ManyWays said:

An IVA is a form of insolvency, you should avoid it if you don't need it. At the moment you don't know what your finances will look like in 6 months as you no longer have to poay this £600 a month to the loan and your partner is starting work and some debts may fall if you win affordability complaints. That is a lot of potentially big changes, so dont rush into an IVA until this is all clear, as its very possible you may not need one. 

hey thanks for the reply. when should i do affordability complaints? Can i do these now? Or shall i wait for defaults? Also if i do an affordability complaint and then i try to set up a payment plan myself with the creditors later after the defaults are they likely to refuse my offer as ive done a complaint?

Thanks

RAS

Ok, if you've got on-line access to your accounts, go in and edit your contact files. Get a throwaway free email address, debts@gmail.com for example, and give them all that, remove you phone numbers (check they haven't got a work number).

Anything important needs to be sent by snail mail by law. That includes default letters, scary because by law they demand repayment of the whole sum, and any letters before action, again by law.

Get an old fashioned file and once a week, open and file the letters, by creditor. You're probably not going to read them other than checking it is not a default letter. They will suggest that if you don't ring, they may take further. Which means their computer has been programmed with a long series of letters and other contact attempts. You take this personally, they just see an account number and pound signs.

Otherwise GDPR allows you to write and tell them to remove all contact details, except your mailing address which you both need so you can respond to defaults etc. It will take a month or so, but they will comply.

If you think you've got a default letter come back here, it refers to the Consumer Credit Act. The consumer creditors can't take legal action until that is issued. 

RAS

And look at debt camel to make affordability complaints, ASAP.

Callum1510

RAS said:

Ok, if you've got on-line access to your accounts, go in and edit your contact files. Get a throwaway free email address, debts@gmail.com for example, and give them all that, remove you phone numbers (check they haven't got a work number).

Anything important needs to be sent by snail mail by law. That includes default letters, scary because by law they demand repayment of the whole sum, and any letters before action, again by law.

Get an old fashioned file and once a week, open and file the letters, by creditor. You're probably not going to read them other than checking it is not a default letter. They will suggest that if you don't ring, they may take further. Which means their computer has been programmed with a long series of letters and other contact attempts. You take this personally, they just see an account number and pound signs.

Otherwise GDPR allows you to write and tell them to remove all contact details, except your mailing address which you both need so you can respond to defaults etc. It will take a month or so, but they will comply.

If you think you've got a default letter come back here, it refers to the Consumer Credit Act. The consumer creditors can't take legal action until that is issued. 

thanks for this appreciate the help. Will let you know when i get any letters!

thankyou 

Callum1510

Hey guys should I ring my creditors before I get a default and ask them to freeze interest and charges if possible? Just thinking of all the interest which may build up on credit cards and payday loans etc whilst I await the defaults? Cheers