Finishing IVA or declaring bankruptcy ?

[zega]

I've seen a few posts from people who are being made to pay additional months payments for one reason or another. I'm just over half way (or so I thought) and the next 28 months will be tough - not least as I might be made redundant and yet that will be regarded as a windfall rather than what it will be - the end of my working life - . SO the question is what are the options with regard to declaring bankruptcy and what are the pro's and con's? I live in rented accommodation, have no assets of any real value, I have at least 28 months worth of IVA to finish - being bankrupt would be over just as quickly, probably cost less in monthly payments and might not threaten my redundancy money if that circumstance arose - help!!!!

[kallis3]

To be honest, as you are this far through your IVA it would be a shame to fail it now.

With BR your credit rating will be shot for a further six years from the date it starts, your IVA will have to fail first and it will cost you £700 in court fees.

You will more than likely have to pay an income payment agreement which will probably be at least as much as your IVA payments.

[Foggy]

Hi. BR at this stage would be a backward step ---- you have 28 months left -- as long as you have kept up the payments, not had any reductions or missed payments, and will make the divident proposed, it should end in those 28 months.

If you go BR, you are likely to get a payments order for three years, for a very similar sum to your IVA payments. It's still your disposable income you have to hand over, and some BR allowances aren't as generous. So, you might have extended your payment period yourself!

I do not know what the BR position is regarding "windfalls" or redundancy pay, so cannot comment there.