Dudley council agree to IVA then say its not possible on public debts ? Advice appreciated.

[canaries]

How about this for a plan.

Stop paying the IVA now.
save the money and all you can in the meantime.
Inform your IP of your intentions.
Find out the exact bankruptcy costs minus any fee's what will be waived if you are on certain benefits so you know the target amount.
Google and research any companies/charites which may help you with bankruptcy costs.
Save money and have as cash to help you moving forward.
Your IVA will need to fail which will probably take at least 6mth so 6mths saved.
Find out your local bankruptcy courts process I.e apptointment diary how much notice do they need i.e how far booked up in advance. (Don't book yet)
Once you know some of the answers to above questions work out how long it will take to save up.

At least wehn you go bankrupt your new leaf would have started debt free and all you then need to worry about is your health, debt free once discharged which seems likely to be 1 yr max possibly eary discharge.

Ps I,m not an advisor etc just someone who's researched this extensively as I,ve been through it.

[Tina Shortland]

Hi Cryptic - I agree with Skippy - I didn't mean Bankruptcy had to happen within the 3 months - it will be whenever you can get the fee together - you may be able to pay your creditors £1 each or something as an interim measure which does work with some creditors. Remember there is also the bankruptcyhelp.org forum alongside this one for more specific advice on bankruptcy which you may find of use as you sort all this out.

[Cryptic1973]

Hi All,
My case officer just phoned, she was very pleasant etc, told me the battle ( i use that term as thats what it seems to be ) between payplan and the council rages on . She is speaking with the IP tomorrow concerning a payment break. To be honest regardless of what happens at least the payment break will give me time to think, maybe thats what i need as its hard to focus properly with so much stress. thank you for all your help everyone and i will keep you updated not only on my situation but also hopefully on the outcome of which party is correct , payplan or the council.

Best regards

[Cryptic1973]

Well everyone what im about to say seems to be a cruel twist of fate and all i can do right now is sit in disbelief and either cry or laugh .

My case officer phoned today and said they have given me a 6 month break to pay the council back ( obviously still not saying whether it is because my IVA is wrong etc )
They have just done it ( i was honestly expecting a phone call to confirm if i wanted the holiday ) but am very glad they have sorted it out so quickly, so that in itself is a little victory.

Within 5 minutes of my case officer phoning the council rang me and said the following "Hello Mr ******* we have come to a decision on your case and believe we are fully in our rights that your overpayment should not be included in your IVA and told Payplan so" as i was taking a breath to say "Its no problem i will be able to pay as payplan have arranged a payment break for me" the council representative said " but as we have previously agreed to it we are going to let your overpayment be collected through the IVA and furthermore repay any overpayment we have taken back into your rent account. "

So i am now in a situation where i dont have to pay either of them for 6 months but my holiday is used.

what to do ?

[Adam Davies]

Hi

I would contact Payplan and explain the converstaion that you had with the Council, there seems to be no need to take a payment break and increase the term of your IVA.

Regards

[Foggy]

A lot will now depend upon whether you wish to proceed with a bankruptcy petition. In which case, save the payments as the council will want payment when the IVA fails --- and I would think they will not want the debt included in any BR.

[Bradders]

It sounds very much loike Duddaloy Council have taken some loigal advoice and decoided to back down.