I am currently looking to renew my car insurance and would like to know if I am allowed to take out a policy on pay monthly terms?
I would effectively be obtaining a credit facility and do not know if this would be in breach of my IVA terms and conditions preventing me from taking out further credit during the term of the IVA.
Yes you are allowed to do this as I had the same question to my IP 2 years ago & they said this is acceptable as it is only credit for genuine needs & not for say purchasing a TV.
You should have no problem - the majority of us on here do monthly payments.
If you stop paying, then your insurance is null and void, so you have not taken credit as such.
You should be ok.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
This caused concern for me at the start of my IVA, as when applying for car insurance & using a insurance company whom search for the best deals it allows you to sign up for monthly payments with a deposit at the start, which is great.
But my payment for my car insurance go to a finance company whom have paid my car insurer - so therefore if i canceled my Insurance through the year I am still liable for the payments.
It didnt really bother me as my the creditors said I could have so much credit for such things as car insurance & contents insurance. And you will find you sign a credit agreement for these - but I think its standard for any IVA as we need such insurances - hope this helps x
Final IVA payment made in April 2013, never ever thought we could do it or get through it but we did! X
An IVA.co.uk Mentor is someone sharing from their experiences of dealing with debt
your fine to pay by monthly payments.
as said before your monthly payment is usally for the next month so if you dont pay it can get cancelled.
same goes for sky,virgin,or any life insurance you may have.
cc received 6th January 2014 now upwards and onwards
I have always paid my car insurance monthly and have changed companies a few times to get a better deal never had any problems from either the insurance companies or my IP.
Jan
Nothing you can buy feels as good as not being in debt.
I think you have to be careful with some insurance policies, as one that I was going to take out asked if I had ever made arrnagements with my creditors, which to me sounded like if I had, it would be refused, so I went elsewhere.
ive just re newed my car insurance and had no problems, i pay monthly and always have and this was included in my iva, it does state in my prposal that i can obtain this for things like gas/ electric/ car so i wouldnt worry...bit gutted as my insurance has gone up by £6 a month
We pay all of our insurances monthly. Never had a problem with that or with utilities either.
Not good that you have had a rise Heidi.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
My worry with applying for monthly insurance policies is that if they refuse to insure you after doing a credit check (which I believe some comapnies do) then when asked the question 'Have you ever been refused insurance' you would have to say 'Yes' which could make it very hard to find anyone to insure you at all as if you don't meet the criteria with the questions they ask you, you don't fit their business plan and they simply won't insure you.
