www.iva.co.uk

Good evening all,

I am hoping for some advice to see whether an IVA is right for me or not.

I have debts of nearly £20k, owing money to 5 different lenders. I do not own a house and I am living with my parents. I was comfortably paying off the monthly payments on time up until just over a year ago when I was made redundant. I found another job pretty quickly but it pays a lot less than my previous job (£780 after deductions). As a result as soon as my savings were used up I started struggling paying the monthly payments and on many an occasion I've had returned direct debits, and bank charges as a result. I sold my car to get me through a few more months, whilst living in hope that a better paid job was around the corner. I have had help from my parents to keep getting the payments paid, but I can't keep going on like I am.

Debt: £**k
Income(after tax): £***
Expenses(not including debt repayments): £****

Any help would be greatly appreciated.
Please let me know if I have left anything out.

Thanks

James

Hi James and welcome to the forum

I would be concerned about the level of disposable income you could offer to creditors - which you are currently showing at £330 but this does seem very high compared to your outgoings. Are you sure that you have provided for everything you spend in the £450?

A chat with an insolvency practitioner could help you work out an affordable budget - and an IVA could well be a sensible option for you to pursue.

Absolutely. It is the hidden things that most of us don't give much thought to that can help tip the balance one way or the other, for example dentist or medical costs, contingency allowance.

Take time, therefore, to visit www.iva.com have a look around, read reviews etc. Speak to 2 or 3 reputable companies, who will be happy to provide you with no nonsense, no obligation advice, and then make your own informed decision from there.

Regards.

Hi James, welcome to the forum.

Sorry to read about the struggles - you're right, it can't carry on like this, especially if you are having to use your parents money to help pay the creditors each month (what supportive parents you have!).

The first thing any of us will do when you call is helpyou work out a realistic budget taking everything into account - this is to make sure you are not overcommitting yourself - otherwise you will end up at square 1 again.

We'll talk through your situation and the options available and then help you make the right decision for you.

Regards,

Hello again, firstly thank you everyone for your time and help.

I was being extremely sensible with my outgoings. I was trying to cut out on the things I buy that maybe I could do without or find a cheaper alternative. As a result I guess I have cut corners on things that maybe I shouldn't have. The dentist and medical costs didn't even cross my mind, although they are very small, but I'm sure it all adds up.

I will go back to my spreadsheet and look through my bank statements and have a re-think, and then get the ball rolling. Like you say, it's not in anyone's interest for me not to be able to make payments.

Thanks again.

James

A chat with an insolvency practitioner would definitely help here as they can help you assess some of the allowances you may need moving forward.

James why not take a look at www.iva.com for a list of companies and some reviews and always talk to 2 or 3 companies, they can go through your I&E with you and give you professional advice.

James I can send you the current list of allowance guidelines if that would help you work on your budget first.

Yes Tina, that would be great.

iva.com doesn't seem to be working, is this the case for anyone else?

Hi James

Just wanted to say welcome, call 2 or 3 companies from iva.com (it seems to be working for me, maybe it was just a temporary blip) and you'll feel loads better when you've done that, I bet.

I know what it's like to be supported by your parents and living at home and there are other people on here in the same situation so if you ever want to vent - feel free. It can be very stressful, especially if you don't want them to know about it.

Good luck

Hi James, if you click on the link below and send me a contact through Melanie's contact form I can email you the budget guidelines.

Regards,

Tina, could you also email me the budget guidelines? It is actually for a family member and I can't recall all the amounts.

Will do.

Tina, contact form has been sent, Thanks.

Missy80, thanks for your support, it's good to hear the others have been in the same position. iva.com worked for me as soon as I had finished posting the last message!!

Well, I finally decided to go through with the IVA a few months ago, but it was rejected today. I was really hoping it would be the best Christmas present possible, hearing that it had been accepted. I don't really understand where I go from here, I guess this means the phone calls and letters start again..?