Help IVA failed is bankruptcy the only option

StopIt · 10 October 2017 at 11:57AM

I honestly can't see the point of an IVA if you have no assets to protect.

You'll be paying for 6 years rather than the maximum of 3 years of an IPA, both wreck your credit files and the IVA has a chance of failing, putting you back at square one with only bankruptcy as an option.

Unless if you can't go bankrupt, rather than just not wanting to, I wouldn't be advising an IVA over it in your circumstances.

Annalise1234 · 10 October 2017 at 12:12PM

Thank you the company that are advising me at the moment said that because I had been bankrupt before (10 years ago) due to bad relationships etc, pretty much the same as now it would be frowned upon and would be paying £600 per month extra rather than the £160 the IVA is proposing -as they don't take into consideration my living costs and would be very harsh - I just don't know what to do I'm so confused

StopIt · 10 October 2017 at 12:18PM

Annalise1234 wrote: »

Thank you the company that are advising me at the moment said that because I had been bankrupt before (10 years ago) due to bad relationships etc, pretty much the same as now it would be frowned upon and would be paying £600 per month extra rather than the £160 the IVA is proposing -as they don't take into consideration my living costs and would be very harsh - I just don't know what to do I'm so confused

You're being led down the garden path by someone who wants their IVA fees.

Get an appointment with the CAB if they have debt advisors at your local branch, or call the National Debtline and get impartial advice.

Of course the OR will take into account your living costs, it's all part of the SFS and will have set allowances for everything from food, fuel, to childcare costs etc.

Being a previous bankrupt means that you may be at risk of a BRU, but unless if you're planning to be a company director, that's still not the end of the world.

Honestly, seek help from someone who doesn't stand to gain from you.

Annalise1234 · 10 October 2017 at 12:27PM

Thank you I will look into this - I just wished someone could sort it all out I work from 8am until 6pm , every other Saturday and have two little boys ...so stressed and tired and confused

System · 10 October 2017 at 12:57PM

Annalise1234 wrote: »

Hi Carrot - no fee to me - I just hope it is accepted as I don't want to go bankrupt unless there is no other option, they did advise if I went bankrupt the OR are quite harsh with any extra cash I have and would take most of it from me

Please please please declare bankrupt. It is by far your best option in your circumstances. All of the phone calls and the debts will go away. Your credit history will be repaired far sooner than any IVA or other agreement that will be put in place. You will have more money to live on than if you sign up to anything that you're being sold as a solution by these predatory companies.

Whilst it will make life difficult, to be honest given the state your credit record is in now it won't be much different to how it is now but you'll no longer have the level of stress you currently have now and it will be like the weight of the world has been lifted off your shoulder.

Sorting it out takes little time. You can download the papers, you need a day off to hand them in, a day off for the bankruptcy hearing and a day off for the OR interview if there's one at all.

luvchocolate · 10 October 2017 at 1:18PM

Hi you can complete the papers online now and do not go to court.
You will get a telephone call within a few days to discuss your bank account etc.
You will then have either a telephone interview or face to face within a few weeks.
Do not be worried that you have been in this position before.
Please contact National debt line or your local C.A.B office.
I am concerned the route you are going down is not the right one for you.

Annalise1234 · 11 October 2017 at 8:47AM

Thank you all, I just don't understand why I would be told if I was to go bankrupt I would be paying £600 for three years (of which I haven't got) - am I allowed to mention the company name to you to see if anyone has had dealings? I will contact the National Debt Line - Thanks for all your advice all I want is to make the right decision

luvchocolate · 11 October 2017 at 9:03AM

There are companies out there that thrive on your sistuation and must be avoided.
Always use the debt free charities we mention on here and read the I.S website and the stickies on this board.
This will get sorted, just stay focused and use us for moral support also.
Please let us know how you get on.

StopIt · 11 October 2017 at 9:19AM

Annalise1234 wrote: »

Thank you all, I just don't understand why I would be told if I was to go bankrupt I would be paying £600 for three years (of which I haven't got) - am I allowed to mention the company name to you to see if anyone has had dealings? I will contact the National Debt Line - Thanks for all your advice all I want is to make the right decision

Your OR can not and will not charge a £600 IPA if you haven't got it to pay.

If you post an SOA, it will help. There are people with intimate knowledge of the process and they can tell you if you'd even be given an IPA, and if so, how much, to a point.

As stated before, you're being "advised" by someone who wants their cut of the IVA fees and are serving themselves, not you. Do not talk to this company again and get in touch with the National Debt Line/CAB debt team ASAP.

sourcrates · 11 October 2017 at 10:28AM

Debt management companies try and sell IVA’s to people like you so they can benefit from the fees associated with the arrangement.

They will say anything to gain a sale.

In Bankruptcy your budget determines any IPA, not hearsay from a salesman, if you have more than £20 disposable income you will most likely get an IPA, but based on what you can afford.

The people at these debt management companies are sales people yes, not debt advisors, they are best avoided.

Help IVA failed is bankruptcy the only option

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