Hi everyone thatnk you so much for all of this information it is so mice to here from people who are in similar positions, you get to the point were you can't do it at all and you feel like your alone. We have never missed a payment with any of our creditors in all the years I have been in debt but are just finding ourselves with like 50 pounds to live on for the month after all of the bills have gone out, which with 2 young children is virtually impossible. It really is worrying me that if I stop making all of the creditors payments, we will then be in default with all of these companies and I am then worried that the worst will happen and that they will decline us on an IVA. i am really scared about what we would do then? We own a house and pay an interest free high morgage that again I have never missed a payment with, we are in negative equity but it does really scare me that if i miss these payments and then get refused they will take my house??[:(][:(][:(][:(]
The vast majority of us on here were in default with our creditors prior to the IVA and most of us had stopped paying. It will have no bearing at all on how they vote. You and your family come first.
A lot of us are homeowners as well and as long as you continue to pay the mortgage your house will be quite safe.
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
Gemma. Please try not to worry too much. Any IP will not put a proposal forward if they didn't believe it would succeed. As long as the creditors can see from the income and expenditure that the best offer is on the table then it wil be fine.
Take care and come back with any queries. We've all been there hun and understand how you are feeling.
x
Hi Gemma,
You`ve found a great forum for advice and support.
I`m nearly a year into my IVA now and I`m just sorry I didn`t act sooner.
My IVA took three months to set up from first contact with my IP to creditors meeting, some are quicker to set up - it depends on circumstances. I didn`t make a single payment to my creditors for that full three months, I used the money to build up a contingency fund and it`s a good job I did because I had a lot of car and other expenditure, and obviously no more access to credit.
I got lots of phone calls from creditors but I left my phone on silent and just let them leave messages.
It`s very rare for an IVA proposal to be rejected as your creditors will take the best deal they can get, and that wouldn`t be achieved through bankrutcy, and your IP wouldn`t propose one for you if they thought it wouldn`t be accepted.
It will be a stressful time Gemma, but you will deal with it and this forum will provide you with all the advice you need.
"When the seagulls follow the trawler, it is because they think sardines will be thrown into the sea".
Thanks for this, if it did get turned down does anyone know what the option maybe then? wish I could sort it over night it really is so worrying isn't it!
In the unlikely event that you were turned down then you could opt for a debt management plan. Your house would still be safe.
I am sure you will be fine - which company are you using?
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
They seem to be a well respected company on here. If you put the name in the search box it brings up a lot of previous posts.
The main thing is for you to be happy with them. You have 5 years dealings with them and 1 persons experiences may not apply to another.
Freeman Jones is a well known company so you are ok Gemma. There is no specific criteria but they would not put you forward for an IVA if they did not think you would be accepted. I have not seen a rejection on here in a very long time!!
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
Thank you that really fills me with confidence, am still really unsure of this not paying the creditors stuff, the worrying part is not being accepted and then being left with all of these defaults, but I suppose it is just a waiting game now isn't it!
Not really Gemma. The creditors will look at the expenses you have put down against your income. Your IP would have discussed with you any expenses they think are a bit high. Most will grab what they can these days. They know they have encouraged people to take more debt on over the last few years (not that we had to of course!!).
We had a modification request as we had a smoking allowance of £120 (we both smoke). Grant Thornton who voted for Barclaycard, Egg and Capital One requested we accept a £40 reduction on this. We accepted this reduction as they stated they would reject otherwise (and a lot of our debt was with them). They also asked for the IVA be extended to 72 months due to the low dividend (17p) which I also accepted.
However the contact I had been emailing in the IP company managed to get this retracted afterwards (as I am not in the best of health and he thought it was a little unfair).
I was given a good bit of advice beforehand. Have a look at the Income and Expenditure sheet and make a few calculations as to what you could reduce a bit. That way if there are any requests for modification on the day you won't need to think about it for long. If there are no such requests at least you were prepared!!
It is a very worrying time I know. I can only say though that since 21st June when ours was approved I have slept so well. It's made me realise how much stress I have been under for the last few years.
Hi Gemma, your IP will put together your best offer and your IP will strive to get you the acceptance you want.
All the best you've chosen a company you're happy with and as to not paying the creditors in the interim, some posters do pay a pro-rata amount but this has no bearing on the final outcome of the meeting and to build up a contingency fund prior to entering the IVA just in case. x
All the best. x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
Thank you - the only cost that I have put on that is quite on the high side is my child minding cost fo my 2 year old daugheter which is £250 per month, do they think that they would refuse because of this?
I am sure you will be fine Gemma - as regards the childminding fees, I think that is reasonable - I paid £200 a month for my daughter and that was way back in the 90's!
If your IP is happy with this then your creditors should be as well.
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
