I had my IVA REJECTED

[s.k]

I had my IVA REJECTED basically because a major creditor MBNA representing about 25% voted against .But would pay the same dividend outside an IVA.

[MelanieGiles]

Hi sk

I suspect that MBNA are saying that they will accept 25p in the £ now, but are not wanting to wait for 5 years to receive it.

Presumably your IVA was based upon contributions rather than a lump sum? What do you plan on doing now - bankruptcy or DMP?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[s.k]

Hi Melenie,
No . My IVA was based on lump sum payments 0f 39.5p per pound for all creditors.
Basically this would have been financed with a remortgage.
s.k

[Adam Davies]

Why would MBNA not accept a 39.5p dividend fom a lump sum IVA but wouls accept one outside of it ??
Surely the time scale for actually receiving the money would be similar.
Can,t understand their thinking.
Regards

[MelanieGiles]

OK - this is madness. So why hasn't your IP done a deal with MBNA outside of the arrangement? If you still have time - ie adjourn the creditors meeting for 14 days from its original date, and renegotiate. If they want a dividend outside of an IVA, and this does not affect the other creditors, then there is no problem is proceeding with this. What does your IP say, and when was the creditors meeting?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[s.k]

Hi Melanie,
I agree. But he cannot understand them himself . He has not tried to make a deal.
The Creditors meeting was 14th March & was adjourned till 28th March. But nothing came about. I am now in serious problems. Basically he felt was unfair to deal with ant creditor outside IVF.

[MelanieGiles]

How can it be unfair to deal with a creditor outside the IVA if they are going to get the same dividend? We may not agree with MBNA's stance here - but at the end of the day if everyone is getting the same distribution, and is not therefore prejudiced by the matter and are fully aware of what is going on what is the problem?

It is a real shame that this was not dealt with for you by negotiating with MBNA and the other creditors during that 14 day period. I think you should take a second opinion and represent the proposals. In the meantime continue with your mortgage application, so that you have monies available to do the deal.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Adam Davies]

S.k
Who is your IP and have you made any payments upfront ??
Regards

Andy Davie
IVA.co.uk Spokesperson and site manager
(aka Neverending)

Please check out my blog: http://andydavie.blogs.iva.co.uk

View my profile here:
http://www.iva.co.uk/andy_davie_profile.asp

[s.k]

Hi Andy,
My IP Is Ian Yerrill. (GERALD EDELMAN) Yes I have given him £250.00 up front

[MelanieGiles]

I remain suprised at the stance taken by your IP, and suggest you give this another shot.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[s.k]

Hi Melanie,

Could you have a chat with him on my behalf.
I was told have to wait some time before resubmitting another IVA ?

I first went to Ian in Nov. and it has taken all this time to arrive at a failure.
During this time interest would have built up for all creditors . Basically my wife and children have had to put up with many calls from creditors.

[tracy.h]

Hi S.K
Im no expert,but if your iva was never,excepted then why wait.Why not go straight to one of the experts on this forum,as Melanie said time is of the essence.Im sure your creditors will be happy to except your proposal if it is viable and from reading your posts that seems the case,the ips on this forum know there stuff,and Melanie wouldnt have suggested giving it another shot if she felt it was a problem,i personaly had an iva failed and i am now free to resubmit another iva,as long as creditors see you are making a viable offer they wont be concerned with past tense.
as for mbna im sure they can also be dealt with with an ip who knows what they are doing.As i said im no expert,so if im wrong i will stand corrected
Goodluck

[s.k]

Hi Tracie thanks.

I am now more phone calls from creditors saying they are having charging orders issued because they have not had any payment for over 3 months. This will mean I will have higher costs now .
The min payment these creditors want is about £1200 each. I cannot pay this . What do I do now ?

[tracy.h]

Sk dont panic
one of the experts will be along to advise you i havnt paid creditors for 7months except a token fee but my case is different to yours hang in there im sure you will be fine,if push comes to shove dont answer the fone,if its important do 1471 and call the person back if you no the number
keep posting x

[scaredkez]

s.k firstly i would like to say do not worry to much about the threat of the charging orders at the minute, firstly the creditors have to issue you with a ccj through the court first and cannot issue a charging order until you have defaulted on that, they are just trying to scare you at the minute, i had not paid anything for 6 months and received all these threats, i only started paying minimal payments under a dmp in january as my iva was rejected, i still get the threats now but so far no one has issued any proceedings against me after 9 months, i am going BR soon just trying to get the fees together for my husband and i, so hang in there, don't make anymore payments to the ip you are using and get a 2nd opinion try one of the experts on this site.
kerri

Please view my blog at: http://scaredkez.blogs.iva.co.uk/