Hi Susan. For banks, I would recommend Co-Op Cashminder, I am sure others will have a few suggestions too, but that is the one I use and I am very pleased with it.
Now -- the reason we suggest you chat to a few IP's is to get a "feel" for who you think you can work with over the next 5 years. Stepchange has many happy customers, but do pass on some applicants to Grant Thornton. Personally Stepchange are not my cup of tea.
I would recommend you have a chat with Mel, who posted above and another firm that I am impressed with their customer care and just the way they operate is McCambridge Duffy. But, at the end of the day it is a choice only you can make. What impresses me might not impress you
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Hi Susan we had debts with similar creditors and opened a basic account with nationwide ... U can open it on line and we got a decision straight away.. Just make sure if u search the account put in the basic account. We also opened a basic Natwest one as well. I did this on line as well the forms were sent to us and we just took them back into our local branch and they opened it straight away. Both come with a debit card that can be used anywhere.
I sympathise totally with you it's such a worrying time deciding what to do and who to use ... you're lucky you've found the forum b4 making any decisions. we only found after we'd started the process .. i definatelty would speak to mel's team as a starting point and it take from there.
Our iva has been accepted today and the relief I'm feeling compared to the worry over the last few months is unbelievable .... Make that phone call I promise you'll feel tonnes better
Good luck ... And keep posting this forum is a god send !!
Banks will always recommend that you use the StepChange Charity - because they actually fund the Charity in terms of their running of DMPs. Their IVA arm is just as commercial as the rest of us, so I am not sure what incentive there is for banks to continue to recommend just one firm - there are plenty out there for you to choose from.
I believe that StepChange have only one insolvency practitioner to deal with tens of thousands of referrals. They do more DMPs than IVAs so perhaps that is why the banks refer people there. Just a guess.
The last time I looked Michael, they were doing around 120 new cases each month, so significantly more than us and we have five IPs - albeit they don't all deal with personal insolvency.
My Iva/F&F was through PayPlan and they were good, talk to 2 or 3 as suggested. I`d get that bank account sorted asap and any credits (eg wages) transferred.
Basically get a bank not linked to any of your creditors.
We chose Santander, but that was mainly to do with their business banking arrangements rather than anything else.
Stepchange are funded by the banks etc so they will try and get the absolute most out of you. I went with Debt Free Direct who have varied feedback on here but have so far been brilliant.
Stepchange calculated my payments at £350, DFD £120 and after the meeting my payment was agreed at £127. This was on debts circa 32k. You need to feel comfortable with the person you are dealing with and trust your gut instinct.
First move is to sort out the bank, I went with Think Money, no need to hide the impending IVA and again great customer service.
A stressful time but also empowering.
Good luck and condolances on the loss of your mother.
Avoid HSBC/First Direct - they will close your account when they find out about your IVA.
Good advice here already. I would add thhough that when opening new bank accounts prior to your IVA application, there is no need to limit yourself to a 'basic' bank account. You can get a full current account - less overdraft of course, but with a non-creditor institution.
Tip: Do not reveal to your new bank that you are considering an IVA (no requirement to disclose this information), or they will then limit you to a restricted basic account, or worse, refuse you an account altogether).
Good luck.
My opinions are just that: Based on my experience and being a self-employed IVA customer.
Well I am still taking small steps and now have a new bank account so will not be in trouble with my old bank because the 2 loans we have with them wont be paid.
I now need to make a decision re an IVA company Why does every creditor I talk to mention Step Change. One firm that I recently talked to said to use Step Change as they didn't charge as much as the private companies so the creditors got more money from me. So now I am worried that if I dont use Step Change I won't be accepted for an IVA and I think this has to be our solution because we don't want to lose the house.
There are times when I hate money and I hate not being able to pay my bills. So has anyone used Step Change and should I talk to them? As I had more or less made the decision as to who I was going to use but feel I have been thrown a curve ball.
Sorry for going on but this forum is such a help and I hope once I am sorted to be a support for others going through this
Thank you
Susan
Hi. First, StepChange charge for an IVA in much the same way as any other company. Creditors constantly recommend them because they are also funded by those same creditors.
Some people who go to StepChange end up being passed over to Grant Thornton, who also charge exactly the same as other companies.
StepChange do have many happy clients, but the premise upon which they rely heavily, or as expounded by the creditors themselves, regarding fees, is false. Incidentally, for their thousands of clients, they only have one IP.
It is important to chat with a few companies, and no reason why StepChange shouldn't be one of them --- but at the end of the day it will make no difference to the outcome and this decision is yours, not theirs!
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
There is some very good advice passed on here already. I would like to add however that I started my IVA only last month and was considering one company until I found this forum and followed the advice of persuing 2 or 3 companies. The most important thing is that your IVA is affordable and that you can commit to the payments for 5 years+. I found that the monthly payments being proposed was over £200 cheaper with the company I decided to go with. I have this forum to thank for that. Good luck with your search and IVA Journey:-)
It is ridiculous for banks to state to their customers that StepChange are any cheaper than any other commercial firm of IPs. It is time this anti-competitive nonsense was stopped - in reality the banks recommend StepChange bevause they offer free DMPs - not IVAs. And in reality they are not free at all, because the banks make chunky donations to the charity in return for that service.
I am now totally confused I have had 2 companies tell me that my husband and I don't earn enough for an IVA and one giving me a figure they would offer. This figure Step Change tells me is liable to be rejected so Step change has suggested we hold off for a couple of months and see if dave can generate a copole of 100 pounds extra a month so we can get an IVA. They also suggested my best option might be bankruptcy as they had a look for rented houses in my area and said I could have a 3 bed for 620 odd a month. But she told me I only had 80 spare after all overheads to offer my creditors and my mortgage is only just over 500 a month for a 4 bed house so how am I suppose to afford that? it almost seems slightly false economy. Also it would effectively telling my youngest son that once he moves out to go to uni to do his masters that he can't come home as I won't have room for him. So do I take step change suggestion that I offer a token payment to our creditors over the next couple of months while dave hopefully finds something or do I go with the company that says I do have enough and see what happens? I really do not want to lose the house but I hate all the letters I am getting.
Sorry to go on but I had hoped this would be sorted by now and I feel that it is going to drag on now even longer and that is just depressing.
Thank you for reading.
Susan
