www.iva.co.uk

Hi, First day here and am amazed at the amount of people entering into IVA's. I only thought about it the other night after having a loan application turned down for the 2nd time to try and consolidate all my debts.
I work full time, been with same company for 11 years, earning a reasonable salary but over the years hve just slipped into a very bad routine, store cards, credit cards etc. I now have approx £22k worth of debt between around 9 companies, i am managing to pay the min payments on them all each month but that is leaving me only around £90 to myself once all my household bills are paid( rent, Council tax, water etc etc). Its now really getting me down and I am worried as to how I will pay for other things ie food!
After looking on here at the info on IVA's, I wonder if this would be the answer? Do people have to know your on an IVA, thinking of my parents, friends etc.
I'd appreciate any advice from people already going through the same thing.
Thanks

Hi and welcome to the forum.

An IVA sounds as though it could be an option, but I recommend that you take some professional advice.

Visit www.iva.com for a list of companies and reviews. Give one or two a ring for free and impartial advice.

As regards family, it is totally down to you whether you mention it. My parents and friends know nothing about my circumstances but I know other people feel better for having shared it. Nobody will be told about it.

The forum is here for any advice and support you may need and we have a great social side as well.

Hi there, Thank you for the advice - I will give it a thought over the weekend and decide - It is really helpful to be able to read all the info on here and learn other people's experiences.

Hi there. As Jan said, no-one need know, unless you want them too. One of the best parts of this forum (actually they are all best parts), but one is that it's somewhere to go where you CAN talk about the IVA freely, as well as get good advice.

Hi Susie and welcome to the Forum.
An IVA may well be an option as would bankruptcy or debt management. If you are working all month and cannot meet your minimum payments you should look at getting some free advice and find out what is best for you.

Thanks Michael, I think i will seek some advice, I can meet the minimum payments and always make sure i do, but it just leaves me with no money for anything else, hence why looking initially at a loan but i guess with not owning my own property, banks don't take kindly to lending money with nothing behind you. I just need a way of being able to live and pay back the money i owe, was not a problem up until this last year and i lost my overtime which meant my monthly pay was around £700 a month down so hence money is very very tight now.

An IVA is a way forward, it's not the only solution though. Visit the link I posted and ring one or two firms.

This forum is great for expert advice and being able to talk about your problems with people in the same situation as yourself.

An IVA is an option that is perfect for certain circumstances in the same as a secured loan would help a person in a particular situation.

As mentioned it’s always best to speak to at least two companies, they should in theory tell you the same thing so all you would be left to do is decide who you feel most comfortable proceeding with.

Lee

Thanks guys - Its just taking that first step to do something about it

Is there any chance the overtime could come back in the future?
Or a payrise? Just something to think about, while weighing up your options.

Hi, fraid not - overtime is gone for good hence me needing some thing else to get me out of this.

I spent about 18 months managing to pay my bills and having a very little to live on. So with the benefit of hindsight I would advise you not to put of the inevitable. There is a very fine balance between coping and not - it came for me when I was double paid overtime one December.

I was spending on presents like a maniac, didn't realise and when January payday came they took the overpayment back in full. I was £300 down in my salary and six months later I still hadn't recovered from that small financial shock and I was paying up to £150pm in OD charges and couldn't pay my commitments.

hi - yes it feels like a stuggle every month at the moment, since i lost the overtime, its just been building each month, spending what i have left, then using credit card for food and bills, then having less of my own cash left the next month...I seem to be paying around £800 a month out on covering the minimum payments for my credit cards, store cards and catalogues, and also paying around £500 a month on rent, council tax etc so leaving me less than £90 a month for food and general living so its a vicious circle.
I will be looking at contacting someone to discuss an IVA next week as i think it may be something that will be the way forward for me.

Hi Suzie, you sound like you are in the exact same boat as myself before I entered my IVA, I have to say that I have never felt better even though some months are hard especially christmas, it is a big relief to know that I can manage all my bills and if I am frugal enough I can actually manage to save a small amount each month for those unseen disasters just waiting to happen (bearing in mind i cannot get a loan).

Also I have no creditors chasing me about my debt, the last two months have been very very tight for me financially as work has dropped off considerably, however I feel very lucky to be able to now manage my money, my iva has taught me this, so i have no regrets at all.

Good luck to you and as already stated get the advice of the professionals there are many on this forum. regards Lee

Susie, you do sound as if you are in a spiral many of us would recognise...you hit a rough patch and then the debt just accelerates. I'm glad you've decided to speak to an IP next week. They will be non-judgemental, professional and everything you need them to be so don't put off the call.

They will also guide the conversation to get the info they need, but if you are ready with a list of creditors and how much you owe each of them and your net income (plus any additional sources of income such as tax credits) and monthly expenditure (rent, council tax, utilities, mobile phone, broadband, sky tv, clothing, housekeeping, car tax, insurances and anything else you pay out) you will be better prepared than most and get some very good advice.

It will be such a weight off your shoulders once you have found a solution and knowing that every month you are reducing your debts. It was a seminal point for me when I had my first adult burthday and could say 'I am less in debt now than on my last birthday'!