nervous worried .... can't cope

[nolongeranxious]

Hi everyone, I'm new on here so i hope you don't mind me posting. I have been watching the posts here for about a week and am finally plucking up the courage to post.
I am single, live on my own in my house. I have a mortgage and am up to date with those payments. I also have a 2nd mortgage and a car on HP (also payments are up to date). I am in the process of applying for an IVA. I have £23000 worth of unsecured debt. My god, thats the first time I've confessed that to anyone other than my IP. I have just posted back my proposal pack so my IP is going to send out my proposal of IVA to my creditors by the end of this week, early next week. I am not holding out much hope that it will be accepted though because Northern Rock is my biggest creditor at about 45%. I took out a personal loan a few years ago. I have heard that they often don't even want to know, when it comes to IVA's. I am a nervous wreck. I suffer terribly with anxiety anyway but the prospect of this failing just fills me with dread. I just hope they consider it, without just dismissing it from the outset.
I have looked into BR, infact I was talking to my IP about it, but they really feel, and so do I, that IVA is the best thing for me.
My dividend to creditors at the end of the IVA will be 36p only, which I just don't know if they will accept or not. I am worried sick.
I'm not saying I want to be lied to now and told everything will be fine and that it'll all go through, no problem but i guess i thought it would be nice to talk to others who have been in the same boat.
No-one knows the situation I'm in financially. I worry constantly. I dont know whether to tell my family. But I dont want them to worry about me. Also I feel ashamed, deeply ashamed. But I also need there emotional support. I don't know how much longer i can go on.

anyone out there who has been in a similar position?
x

[Wizzard]

Hi Anxious
Welcome to the site. If its emotional support you're after this site has it in abundance. Also advice on whether NR will accept your IP's proposal can also be found here. Afraid I can't offer advice cos if its not soft and furry and meows a lot I know bog all, but there are many on here who do.

Again ... a big welcome[:D][:D]

[size5]

Anxious, a very warm welcome to you, you are amongst friends here.

For my two pennorth, I would encourage you to speak to your chosen providers again for reassurance. Do not feel that you would be troubling them or mithering, you aren't and your providers will be happy to put your mind at rest.

Northern Rock have had a history, so to speak, re rejection of IVA's, but I can't see anything in your post which would immediately set alarm bells ringing. I have come across cases recently, for example, where they are not best pleased when a debt is less than 12 months old. On the other side of the coin, I have seen IVA proposals succeed recently with NR having over 70% of the vote.

The main thing really is that you are taking the steps necessary to alleviate your solution so again I would encourage you to pick up the phone, it is highly unlikely that a proposal would be put forward in the first place that had little chance of success.

Regards.

[Wizzard]

See Anxious .... I told ya there were some nice peeps in here[:D][:D]

[kallis3]

Hi Anxious and welcome to the forum.

You will have lots of friends on here, and we have all been in similar situations.

My parents do not know about my IVA and I have no intention of telling them because I know it would just about finish them off. I have told no friends or colleagues at work. I find that just by posting on here I can get the support I need.

Obviously I can't comment on your situation, but my IVA was accepted at 31p in the pound. Not much, but a lot better than they would have got if I had gone BR.

Keep on posting - we're all here for you.

[nolongeranxious]

thanks both of you, its nice to know i am among friends. i have spoken to my IP this morning and they were nice and tried to be reassuring. I think I have gotten to the point where i am so anxious that nothing is really helping.

[nolongeranxious]

oh thats really interesting to know Jan thanks. yeah i think bankrupcy is 27p and my IVA is 36p. fingers crossed.....

[Loads]

Hi Anxious

Can you tell us the current value of your property and how much you currently owe; could you also tell us how much the second mortgage is for?

[nolongeranxious]

current property value 122500. mortgage 1 is 81000 and mortgage 2 is 25000. i know its awful, i am totally ashamed...

[Loads]

Hi again Anxious

First of all dont be ashamed its something that a lot of us here have been through and its nothing to feel ashamed of, not at all, its just life at the moment! The reason i asked was to see how much equity you have in your home, as it is you have over £16k. I was checking if Bankruptcy was a serious option. I dont know who your IP is but they dont always tell you other options that are available to you. What i would say to you is that make sure you are going to be ok with the monthly payments and its not going to put you under to much stress, and be aware that the payments may go up in the future depending on any change in your financial situation. Do you know if they are going to put a 4th year clause within the IVA? This is where they ask you to re-mortgage in year
four.The reason i ask this is because if they do and you cant get a new mortgage you may be subjected to a further year in your IVA. Don't get worrying yourself about this, its just checking that you are going to be ok.

Loads

[nolongeranxious]

yeah i do have the year 4 clause re. re-mortgage. I think they worked my equity out at about £13000 currently. I have been thinking today about BR and although it seems horrific, I know now that it isnt the end of the world either.
I have had a good look at the repayment scheme on the IVA and it does look afordable. I do think that if the IVA is not accepted i will have to declare myself BR.

[quark2008]

Hang on in there anxious.

[Loads]

Anxious, it might be worth you getting a couple of valuations in, with todays market place it may be worth less than you think.....just a thought!

[nolongeranxious]

if that is the case, does that mean i should go for IVA or BR? sorry i dont understand?

[Loads]

Ok, to make it a bit clearer for you.
First of all, we, someone, cant really say what the appropriate way forward for you would be with only limited information, it may well be an IVA, at the moment it does seem better than a Bankruptcy, however it might be worth speaking to one of the experts one here personally, perhaps Melanie or size5 to get a better picture of what you should be doing. Please don’t worry about it, its only to make sure that you are making the right move forward.