help needed befor 9.30am please!!

[rollercoaster]

As many of you know my IVA was rejected yesterday whilst my husbands was accepted with modifications (uplift in payment of £80pm)
we held the meeting over until 9.50 today to make our decision.
My question is that payplan said i could go into a DMP and propose an IVA at a later date, however my part of the proposal was for £127 pm for a 16K debt. with hubbys prospective uplift in payments i would need to offer lower than this at a later date to make it work.
I thought IVAs couldn't be proposed with that little disposable income? Or if and when i go for it again do they then interlock it with my husbands?
i am confused. we both sat down last night and thought that we would both opt for temporary DMP and try again together, but i didn't sleep last night again and if it is at all possible to accept my OH IVA mods and then try again for mine at a later date, i would much prefer it.
My £127 offer was 44p/£ originally and everyone voted in favor except MBNA and ive been told that if and when they sell to 'max evershed' it would no doubt be accepted then. but as i said i would need to lower my offer and would they entertain looking at it when i could probably offer less than £100pm?????? arghhhhh!! [xx(]

[rollercoaster]

i am also going to ring payplan and ask where exactly the creditors found this extra £80 [;)]

[chris.g]

I was told that we would need at least £250 to offer into an IVA, not sure whether that is depending on the level of debt though. I personally would try to get the meeting delayed again, if possible to give you time to get your info and advice together.
Maybe they will interlock you and O/H but surely you would have to pay more funds to prevent the IVA running longer or extend it?
Sorry I don't seem to be much help.

[size5]

Chris.g, in response to your point on the £250 minimum payment, there shouldn't really be any minimum payment needed to propose an IVA as it should always be based on the individuals circumstances, however different providers will have different criteria as to what is acceptable and cost effective to them.

Regards.

[rollercoaster]

thank you size 5. so im not being given duff info from payplan. if we accept OH mods and i go DMP, i could re - propose my original IVA. £127 for 16K debt (only reason it was refused was coz MBNA rejected, everyone else approved, and payplan said that if and when MBNA sold to max evershed i could try again and it would be likly to be accepted?

[size5]

It is entirely possible to repropose an IVA at a later date, but what worries me, unless I have missed something here, is that you look as if you would only have £47 to fund it with as your O/H has had his IVA increased by £80?

If your proposal was rejected at £127, I can't see it being accepted later at £47 and reproposing at £127 may well leave the total bill with you and your O/H on a monthly basis being too hard for you?

I would definitely recommend that you have a serious chat with your providers before you decide which way to go, I obviously cannot comment much further without the full facts of the case.

[chris.g]

That's interesting Size5, it was the CAB who said we would need a minimum of £250 to enable us to go for an IVA, debts around £60k+ at that point, (didn't really make much difference really though as we had around a tenner spare on I&E!!)

[size5]

That's a dangerous thing to say if they are making blanket assumptions that £250 is the minimum for ANY IVA proposal, one would hope that that was not the case.

The point I was making was more directed at those cases where certain firms have a minimum entry level (payment per month) to qualify. It goes without saying that the more debt you have, the higher the payment needs to be for creditors to consider it a viable proposal, although there is nothing wrong with proposing a lower payment to start with followed by increases in contribution, for example, when a car HP agreement ends, or an equity release clause for homeowners.

Every case has to be, and more importantly DESERVES to be treated on its own merits.

Hope this helps.

Regards.

[ianmillington]

It used to be the case, in the bad old days when IVA firms charged somewhat higher fees than they do now, that there was a benchmark (unwritten)set at £250 per month - anything less than that tended to make the costs of putting the IVA together disproportionate, effectively making the IP appear the only winner. The current practice of linking the fees of the IP with the contributions certainly makes the process cheaper.

Size 5s comments are spot on. Rollercoaster's IVA is most likely only viable when done in conjunction with that of her husband, I think.

Ian

[chris.g]

That's probably where CAB got their info from then Ian. As i say, br was our only realistic option as we have no real disposable income to enable an IVA.

[MelanieGiles]

I do think that there is value in considering withdrawing both proposals now, entering into a temporary DMP and considering whether to represent when MBNA sell the debt on. Also, if the IVAs were presented in accordance with current IVA protocol, your IP can refer this to the protocol committee, as all banks have agreed to abide by the terms of this voluntary code - and need to give good reasons for their rejection.

And do remember that these proceedings can be adjourned for up to 14 days to allow you to fully consider the position.

[emma_t]

Any news rollercoaster, I have been wondering all morning and just logged on? xx

[buttercup]

Hi RC

any news yet.Good advice from Melanie about postponing for 14 days to give you time to think what is going to be best for you

[Soulgrowth]

Hope all is ok rollercoaster ... Melanie's idea sounds like a good one [:)]

Debbie

[rollercoaster]

right here goes. asked payplan where the £80 uplift had come from, and they told me that £20 had come from pets and £60 from food. well me and hubby thought long and hard. pets was not a problem coz sadly during the process we lost our cat (permanently) [:(] and our food allowance could be reduced as we had been allowed £490 pm for family of four which from reading on here i understand is generous. we have been allowed £45pm spares/repairs/ servicing and £40pm for sundries/emergencies, which is more than some people have also.
The long and short of it is, is that we have accepted OH proposal. i must point out that he also gets quite a few opportunities for overtime which can double his weekly wage, he has the OT clause but we are going to save as much of it as we can anyway so we get use to our budget and not reliant on 'extras'.
We are attempting to hold off my creditors for a little while longer whilst the preparations are made for a DMP and will be happy to stay that way unless they give me relentless hassle.
In addition, at payplan, you make your first payment on the day of approval, but the IP said that as there was an uplift he can make the first payment next month (so we've squirreled that money away for emergencies also)[;)] so there u have it. RC's OH approved. [:D]