www.iva.co.uk

How likely are debt collectors to accept an IVA? we are in the last few weeks of our proposal stage now but capital one are being quite heavy (sending letters repeatedly every day and phone calls) and are now threatening to pass our account onto a debt collector. I'm worried that once they sell our debt on, the debt collection agency may be less likely to accept our proposal?

Hi Lem
There is no reason why a debt collection agency wouldn’t accept an IVA. Remember, the IVA sets forth your payment based on what you can afford and to repay. Of course, every situation is different and the right to vote is at the collection agencies hands but your IP would not issue a proposal if they didn’t feel it had the best chance of been accepted.

Thanks

Hi
Don't worry
The people that decide on accepting your IVA are way up the chain. Capital one are just trying to get whatever they can before your IVA is agreed.
If the debt is sold to a DCA then they will have purchased it for approx 10-12p in the £ and I guess your IVA will be offering a profit on this

Regards

Thank you both, that reassures me somewhat!

Pity they don't offer to "sell" the debt to the debtor at those rates

DCAs don't tend to buy debts, they merely act as collectors. As soon as they get a sniff of an IVA, it is more likely that they will hand the case back to the original creditor. We very rarely ever see DCAs voting on behalf of their clients.

ive had my iva since march 2010 and i still get weekly phone calls and letters from one of my creditors and they have passed it to a debt collection agency even tho they know i have the iva

stupidly broke wrote:

ive had my iva since march 2010 and i still get weekly phone calls and letters from one of my creditors and they have passed it to a debt collection agency even tho they know i have the iva

If that is the case then you really need to pass this information on to your IP. Treatment like this is classed as harassment and should not be tolerated, your creditors entered into a legal agreement, same as you have, and as such have a binding code of conduct.

they're aware of it they keep resending them copies of the chairmans report and have told me to keep mine to hand at home incase they call round, which they did 3 months ago they just tell me not to worry that they can't do anything funnily enough they are then only creditor that voted against

They can't do anything and if anyone does come round I'm sure they won't be happy at being sent out on a wild goose chase.

Threaten to report them for harrassment if they continue to send you letters.