I've been in my IVA since January 2008, but am in breach of my agreement due to my inability to keep up with my contributions. I have been under medical care for depression and have also been subjected to a 10% pay cut at work.
As I do not own my home and have no car of a significant value I feel my best option is to surrender to the inevitable and declare myself bankrupt. Does anyone know if this is possible whilst in an IVA.
G.Thornton are suggesting to my creditors that I make a very limited contribution of £100 a month to my IVA due to my paycut, but I fear I may be made redundant soon and feel my time would be better served gathering together the £450 I need to declare bunkruptcy... Any suggestions
Hi
On the info supplied I would consider bankruptcy. It will cost £510.
Just stop paying into your IVA and let it fail, inform GT of your intentions and use the saved money to pay for your bankruptcy
Regards
Although it sounds contrite. I wished to attempt to repay my creditors. After all, I accured the debt and thought the decent thing to do would be to repay it. Also I was advised my MyVesta that an IVA was my best course of action.
I did suggest to Grant Thornton this morning that I would be seeking to declare bankruptcy which is when they suggested reducing my contributions to £100. As I said, I don't think it'll be too long before I get laid off with the way things are here, but I don't think G.T really seemed to pick up on that - as much as I appreciate their help with all this - they still stand to make money off me carrying on my IVA, under the agreement made in 2008, their fees are some £4000, with my creditors actually only getting some £6000 in hard cash.
I read that in Bankruptcy actions, you can't file if you have been in an IVA and have not done everything possible to satisfy that. Surely if I refuse to keep contributing, that classifys as not co-operating and can affect my bankruptcy - or am I wrong in this assumption.
If you think that you will receive any redundancy package it may be worthwhile asking GT for a payment holiday and you could then offer some of the package as full and final. This would avoid bankruptcy and allow you some money to live on for a while.
I had thought about that, but I have only been here 4 years and the package I would be offered would be minimal and certainly not enough to put a smile on my creditors faces.
I was in an iva for 2 years, my husband lost his job and I felt my only option was to go bankrupt.You have to miss 3 payments and ask your ip to send you a letter to take to court to say that he has no objection to you kiling for BR.The whole process was a lot easier than I thought it would be.under the circumstances it was the best option for me,doesn't look like I'm getting an ipa,so hopefully I can start to look forward to a better future when I get discharged next year.
I think maybe your right. As I was seriously ill last year, I couldn't keep up with paying anything towards my IVA, fell behind on my utility bills etc and now I am trying to play catch up with everything I owe again on 10% less salary. What with the constant rising cost of those same utility supplies - I give up. I'm as stressed out now as I was before I entered into my IVA in the first place.
To make it worse, the car and the house got flooded in last months weekend of torrential rain here in South Wales, so am sort of back to square one with everything.
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
