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Posted: Wed Apr 23, 2008 2:46 pm
by cm7
Hi,I'm currently in a debt management programme at the moment paying £300 a month.I can't afford it and was wondering if i could enter a iva.What requirement do i need to do a iva.Thank you.
Posted: Wed Apr 23, 2008 3:01 pm
by Viki.W
Hey cm7, welcome to the forum. An expert will be along to answer you question. It will help if you can post a little bit more about your situation. How much you owe, how many creditors, your employment status, are you a home owner, how much do you feel you can afford to pay etc. All these details will help the experts to answer any of your questions. Viki X
Posted: Wed Apr 23, 2008 3:54 pm
by Oliver
It would be useful if you could post the specifics of your individual circumstances.
To summarise though and IVA is your best offer to your creditors with a capped time limit (usually 60 months). Once the time limit / dividend is reached the remainder of your unsecured debt is legally written off.
You will more often than not have to repay a minimim of 25p for every pound you borrowed after your Insolvency Practitioners costs are paid for by your creditors (but please be aware some creditors require more).
Contact 2-3 companies (the ones on this site are all excellent) or post some more details on the forum so we can give you some more specific advice.
Posted: Wed Apr 23, 2008 5:01 pm
by emma_t
Hi cm7 and welcome to the forum
The main advantage I can see of an iva over a debt management plan is that it is binding so creditors can not keep adding interest as they can in an informal dmp.
Also you will pay for usually 60 months and then any remaining debt is written off.
When I took advice I was told a dmp would take me over 20 years which is not realistic and I am now in a 60 month iva which is much more practical for me.
It will help if you post the amount of you debts and whether you are a homeowner or not.
You will need to have around £15,000 worth of debt and three creditors.
Have a look on
www.iva.com for reviews of iva providers, and I am sure one of the experts who posts on the forum will be around later to give further advice.
Good luck
Emma
Posted: Wed Apr 23, 2008 10:23 pm
by MelanieGiles
How much do you feel you could afford to pay to creditors on a monthly basis, if you are stuggling with £300?