PAYPLAN,GRANT THORTON and CCCS IVA's.

Vici

I had an IVA with payplan and at the time thought it was the best thing for me, however, i did not even remotely look into BR. I was earning a very good wage but had no assets and no home (was living with mum). Looking back in hindsight if i'd known then what I know now i prob would have gone BR about 3 years ago!

debt_doctor

Vici, did Payplan ever discuss the option of bankruptcy with you ?

DD

10past6

rog2 wrote: »

I am NOT impressed with GT.

bentalls wrote: »

I have yet to hear from GT, all I have had so far is a welcome letter from them... Watch this space!

Interesting comments, thank you both.

10past6

Although I've only recently entered into a DMP with Payplan, IVA & BR are something I hadn't looked into.

Having received communication from one of my creditors threatening legal action re a charging order, (although as yet I don't have a CCJ) I informed Payplan of the correspondence, Payplan replied in view of the threatened action, maybe an IVA would be the best option for me, they have not mentioned BR being an option, (following my earlier thread, I now know an IVA is best for me)

I'll give Payplan the benefit of the doubt, in that, as they have my income & expenditure maybe they feel based on that an IVA is appropriate, although I have not discussed any personal assets, re equity, saving etc., etc.( I don't really have any)

debt_doctor

I thought you had £ 30,000 of equity in your house ?

DD

10past6

debt_doctor wrote: »

I thought you had £ 30,000 of equity in your house ?

DD

Yes we do DD, but I don't recall informing Payplan of that during the set up of our DMP.

I must correct myself there. I was not dishonest in keeping that information from Payplan, I would have disclosed it had they asked, I just don't reacll them asking me about any assets.

Praxis99

I very briefly undertook a DMP set up via the CCCS in April last yr with a view to taking out an IVA via the CCCS after a few months of regular payments to the DMP - the DMP been a proving period for the IVA if you will. I quickly ditched it as I decided to go BR instead (in Sept last yr, given an early discharge - with no IPA - in March this yr, just 2 days short of six months in total).

At the time I looked to the DMP from an 'any port in a storm perspective' it was only from doing further research that I realised that it was not the solution that I thought it to be. Likewise an IVA which is just another form of Insolvency anyway was really only of use if I had significant assets such as a house to protect or my employment will be made untenable by bankruptcy - neither of which applied in my case and also wrecks your credit rating in a similar fashion to going BR.

Had I followed the advice of the CCCS I would probably have gone on to take out an IVA a few months after setting up my DMP. This would have been a very bad move for me personally and I feel the CCCS did not take my individual circumstances into account when they suggested it.

debt_doctor

Thanks for that Praxis, that is very worrying advice from a debt charity that I know does a lot of good work. I was very concerned when they started doing IVA's though.

DD

Praxis99

Debt Doctor:

I think the issue is that the CCCS where only looking at my surplus income and having done so immediately suggested I would be suitable to be put forward for an IVA after 3 months of DMP payments. At the time I approached them they were not setting up IVA's themselves but would instead recommend a 'vetted' IVA company such as Grant Thornton once you had proved your ability to pay into a DMP (which took literally every spare penny I had).

Its possible that had an IVA become a more distinct possibility they (the CCCS) would have questioned things such as my home owning and employment status to ascertain if I would have benefited from an IVA over going BR. But these issues where not raised initially and I researched the pros and cons of both for myself.

I shudder to think of were I would have been now had I followed through with this process (both the initial DMP let alone any IVA which followed), with the millstone of debt repayment that would have been round my neck for yrs to come. As is I am now a discharged bankrupt with no IPA and no debt (and plan to keep things that way too, not that I have much choice in that matter given my credit rating is shot to pieces!).

Toon_Dave

Hi DebtDoctor..

i think you already know my feelings regarding IVA's from the other threads. However, my phone calls with the CCCS and GT never suggested an IVA as suitable for me, maybe that was because i have very little surplus income after monthly expenditure.

Also as my unsecured debts total more than £50,000 would have been a very long IVA and potential BR after.

GT - The company was very helpful, lady who rang me back to discuss my I & E basically told me that if i set up an IVA with them then i would be 'wasting' my money with them setting it up as it wouldnt solve the long term issues.

CCCS - again, very helpful guy who i rang. Very knowledgable about options, he did discuss what an IVA would mean and explained the full implications of BR and what it invloved regarding forms and fees etc (As did lady from GT)

Maybe i was lucky and it may well depend on who you speak to regarding their 'agendas' etc...not sure if this helps but my observation from the other posts on here.

I had good advice from both sides on the IVA V BR.

IVA's dont appear to be very suitable for most unless those who BR would affect living - i.e solicitors, Company directors etc or those with non BR clauses in their contracts.

Dave.