Worried! Me and my partner have recently signs up to a IVA through a company called Hanover insolvency they are great but I can't help thinking that I'm just another case to them and they just want to push me through it so they get paid! I'm literally making myself Ill with all the stress and don't know who to turn to. The IVA seems like our best option but I'm massively worried about how we'll cope over the 5 years ! I've read good and bad about an IVA but can't help worrying about it.
Firstly congratulations on admitting that you have a problem and need help. Has your IVA been approved yet? If not it might not be too late to contact one of the recommended firms on this forum. However, if you have signed or are too late to pull out without having to pay costs of work already done, it is not the end of the world. Treat the IVA like a consolidation loan. Follow these steps and you will be ok.
1. Don't live beyond your means, but ensure that you have submitted your I&E based on what you actually layout financially and not what you think they want to hear.
2. The first hint of any problem, contact you IP and don't let the problem escalate. Your IP should work for you as well as your creditors.
3. Be open and honest about any uplifts in you finance ie. overtime, bonuses and windfalls.
4. You will have to give up the little luxuries and Christmas may not be as extravagant as the past years... but it is means to an end and in 5/6 years you will be debt free.
5. If you are able to talk to family/close friends about this do so, as it will help to ease the strain.
6. Whilst you may not be able to afford a holiday or a break over the next 5 years, think of the holiday you will be able to genuinely afford at the end of the term, when it will be time to Party.
I hope these little hints and tips help, and remember the forum is always here for you.
Wishing you good luck on your journey to debt freedom.
Firstly, make sure your I&E is set at a reasonable level - you should not have to struggle at all. Make sure you claim all of the allowances that you need.
As regards holidays then some posters have managed to do the Sun Holidays which might not be the best but at least you can get away for a week, ideal if you have kids.
Have you had your creditors meeting yet?
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
It's not an easy option but was definitely best for us. We had bills paid, fuel and food and found lots of free entertainment! We managed but without luxury!
Read blogs, use the forum. We joined survey companies to get vouchers we used at Christmas to buy gifts. We still do surveys, still get reduced stuff for tge freezer from supermarkets and my wardrobe is still from Sainsbury's!
A year in and we are just getting on our feet. Windows replaced, new bed, new tv etc. We have purchased everything with cash and had a holiday. We wouldn't be here without the iva. It's taught us the true value of money and what we need.
we were both 100% committed and you need to be for the iva and your relationship to work. You need tobe certain it's the right option for you.
Great advice from everyone so far, of which I echo completely.
I think it all comes down to trust and honesty.
I reviewed several different firms before choosing mine, and I knew from when I spoke to them the first time, that they had a good understanding of the iva process, which really made me feel confident in trusting them with every aspect of my personal finances and overall situation.
Don't feel railroaded into signing up from pressure, and always go with your gut instinct. 6 years is a long time and you want someone who will support you through it all.
Started IVA 27th Feb 2012 - Due to complete 27th Jan 2018 !!
Full & Final submitted and accepted 30th March 2015, paid 10th April 2015 - 3 yrs 1 month into IVA
Completion Certificate received- 30th April 2015!!
I wholeheartedly agree it's not easy in an IVA but it can also be a good resource to become debt free. I think with young children it's possibly harder as I often read about this (no experience of this).
Make that income and expenditure realistic and ask as many questions as you want. Any doubts, don't do it until you feel 100% confident it's for you.
All the best and we're always here.
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
Hi Grace - Hopefully your Nominee will have considered your financial position and decided that an IVA was the best option for you. You said they are great so sounds like you are confident in them. Did you actually meet your IP face to face?
