Does this sound right?

[Shrimp]

Hi

I finally had my IP meeting last night (after weeks of runaround).
I owe £54,000 (due to a failed business) and have been told that my payments will be £338pm for the first 12 months (during this time I am also selling my house and expecting to walk away with £20,000 equity which will all go towards the creditors). After 12 months my payments are expected to drop to £252pm for the remainder.

This will mean that I am paying back a total of £36,152...does this sound about right? The IP last night mentioned a figure of £40,000 (not sure where she got this from)

I have asked about the lump sum plus a one year IVA...but am waiting to hear the outcome.

Any advice will be appreciated, as it is difficult to know what is right and what is wrong.

[MelanieGiles]

Your IVA is presumably being based upon your actual circumstnaces, so it is difficult for us to say if it is right or wrong. Do you feel that you can afford the payments?

Are you sure tha you were actually talking to an IP - as I am suprised that they were unable to confirm to you that a lump sum IVA is unlikely to be acceptable to creditors if you are left with disposal income which could be offered over a five years period.

If you have any doubts about the advice you have been given, it is no harm to get a second opinion just to be sure.

[Shrimp]

Hi

No I think it was the person before the IP....I am waiting on a phonecall on Monday.

However after having had time to think about what she said, I'm not clear on a few things...the major one of which seems to be that she calculated my disposable income before tax, Is this normal?

I have a job with a basic plus a commission...which make it different from Month to month which is why I wanted to try to do a full and final (I am prepared to sell my house to do this)...I just seem to be more confused than ever, hopefully Monday will clear some thoughts. As for a second opinion, it has taken me 6 weeks just to get this appointment with Debt Free Direct and I am running out of time....creditors are threatening legal action.

I...like so many other people on here just want it to stop.

[Soulgrowth]

Shrimp ... just wanted to say hang on in there! It will all turn out ok.

It would be worth talking to a few other companies ... why not give Melanie's team a call in the morning as well.

Debbie

[aguise]

Hi shrimp as Debbie says get a second opinion at least you will have a comparison of advice.
I would also recommend Melanie and i know it wont take 6 weeks.

Ang

[MelanieGiles]

If your IP firm is calculating your income before tax, then you clearly ought to seek a second opinion otherwise you will not be able to afford the payments.

Most smaller practitioners will give you an appointment very quickly, and it won't cost you anything so I would definately give it a go. If it takes them 6 weeks to arrange a meeting for you, are you assured that you will get good service from them throughout the IVA?

[Reviva UK]

You absolutley HAVE to get a second opinion because there is no way in which you can sign a FORMAL LEGALLY BINDING AGREEMENT ( IVA) inless you understand what is going on.

You also have to live with the IP for the term of the IVA so you have no choice but to check it all out.

Call Melanie - I haven't met her yet but the forum PLUS the interviews PLUS industry recommendation say she is fair, professional and switched on.

Good luck

[Adam Davies]

Paul
I think that you will be on Mel's Xmas card list this year.
Regards

[Reviva UK]

Andy

not very good at "kissing up" just tell it as I see it

That is why I don't get Christmas Cards from the banks.

[Shrimp]

Hey...thank you and if it's ok Melanie I would like to give your team a call tomorrow. It seems I have been hanging on to a hope that I could cope with all this,and that someonehad my interests at heart. However today, although has upset me greatly has made my blood boil...actually ok, more upset than anything.

It seems that at DFD you never even get to speak to an IP..only someone who won't discuss any other options than a 5 year IVA, and was actually so mean and rude to me when I asked questions (they were simply things I was unclear on, and seeing as I got myself into this mess by not asking enough questions...). Her attitude today was that she couldn't be bothered with me and even told me that I could forget about ever having a family in the future (Ok so I'm 32 and single, but it would be nice someday!).

Anyway so about the whinge on here, but you guys know as well as I do what a lonely road this is, and someone being nasty to you really doesn't help. I understand that I got myself into this mess, but I really really need help to get out of it, not someone speaking to me like I am something she scraped off her shoe.

[Skippy]

What a horrible attitude! How dare she tell you to forget about having a family. You are doing the right thing in contacting Melanie - if DFD treat you like this BEFORE the IVA is agreed what will they be like afterwards?!?

[emma_t]

Hi shrimp

Debt Free Direct seem to have been very judgemental attitude (or at least the advisor you spoke to). This is unacceptable and agree with all other comments about seeking a second opinion as if they are like this now, can you deal with them for 5 years?

When I got in to trouble I had never even heard of an iva and called a company for advice and got quite a long way down the road with them. Like you I wanted all my questions answered and to feel sure I was doing the right thing for me, thats how I found this forum and asked a few questions. It soon became clear that I was not getting the best advice and I was terrified about starting all over again with another company and it all taking so long to get to the same point again. Also it was dauting thinking about going through things on the phone again.

I was so impressed by Melanie when I found the forum, she gives so much time to answering forum questions at all hours of the day and night.[:)] I figured you must get a dedicated service from her practice.
I filled out the contact page on her site and was contacted quickly by Tina and we went through everthing, I asked any questions I wanted without having to book an appointment with anyone to do so (which I think is ridiculous!!). I was given honest, straight advice and switched straight away and things went quickly from there. I spoke with Melanie and we went through everything. My iva was accepted in November 2007.
I know I have an iva that will last the 5 years and be succesful and anytime I have a question I email or phone and get an immediate response.
Although you say it has taken so long to even get to the stage you are at, take the time to make sure you are happy with everything as 5 years is a long time and you need to be correct with all figures and happy with service.

The forum, as you have found, is a great place for support and getting support from people in the same situation as you.
Best wishes
Emma x

[angela18]

Emma is right this forum is fantastic, somebody there to always try and pick you up and always an expert to tell you how it is!! I don't know what situation I would be in if I hadn't come across it... KEEP UP THE GOOD WORK EVERYBODY[:)]