IVA and Renting - help

denvernicholson1994
denvernicholson1994 Posts: 1 Newbie
edited 23 May 2018 at 4:33PM in IVA & DRO
Hi all

I have been seeking advise about entering an IVA due to some recent financial issues currently in 5k worth of debt.

However my wage is due to increase within the next few months as i will be finishing university and have a full time job lined up, and for the sake of struggling through is it really work taking out an IVA.

Also i have 3 defaults on my credit file which are all settled.

I was also looking to move into a new flat which would obviously mean passing credit checks, would i be able to pass them with the defaults and/or IVA?

Any help would be great!!

Comments

  • sourcrates
    sourcrates Posts: 28,834 Ambassador
    First Anniversary Name Dropper First Post Photogenic
    An IVA for such a small debt is a really bad move,

    Who has advised you to take out an IVA ?

    Post up a statement of affairs so we can see the full picture.
    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
  • National_Debtline
    National_Debtline Posts: 7,998 Organisation Representative
    First Post First Anniversary Combo Breaker
    Hi there and welcome to the forum


    I agree with sourcrates, an IVA for your level of debt is almost certainly not your best option. If things are going to improve shortly in terms of your income you could look at negotiating a payment plan yourself or entering into a non fee charging debt management plan (DMP).


    You can find the statement of affairs here
    http://www.stoozing.com/calculator/soa.php. Just format it to MSE before posting it back on the forum and then we can give you some more detailed advice.


    Susie
    @natdebtline
    We work as money advisers for National Debtline and have specific permission from MSE to post to try to help those in debt. Read more information on National Debtline in MSE's Debt Problems: What to do and where to get help guide. If you find you're struggling with debt and need further help try our online advice tool My Money Steps
  • foxy-stoat
    foxy-stoat Posts: 6,879 Forumite
    First Anniversary Name Dropper First Post
    Unless you earn £1000 a year then an IVA would not be the best move.
  • PrettyKittyKat
    PrettyKittyKat Posts: 1,270 Forumite
    An IVA for £5k especially when you are about the go for being a student to full time employment is silly!

    If you are struggling to make the contributions to the debts then your first step is to call the creditors and explain the situation. Ask if you can make token payments for a couple of months until you get your first full time wage, and then return to full payment plus a little extra to catch up the arrears - if affordable.

    Do you need to move in to a flat straight away? Or is it possible say to live with family for 6 months to allow you to pay off / reduce significantly your debt before moving into a flat?

    Have you looked at your affordability once you are in a flat? Can you afford to pay your debts when you have the outgoings of a flat? This may affect what option you take now.
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