www.iva.co.uk

Hi

Like so many people on here I have found myself with massive debts that I just can't manage...this was due to a failed business and as I was a sole trader has been tagged as personal debt. I have tried everything from consolidation to selling just about everything I own to no avail.

However I do have a bit of equity in my house (I no longer live there...it was rented, but they are in te process of moving out) and if I sell this I should be able to raise enough cash to offer creditors a lump payment 25-30%.

1. Has anyone done this?
2. How likely are creditors to accept this (my main one is HSBC)
3. What will happen if my offer is accepted?

Hopefully there is someone out there who can help me answer my questions.

Hopefully

Hi Shrimp - I was advised yesterday that we would need to get £75,000 - £100,000 on the sale of our lease to be able to offer a full and final settlement for both business and personal debts of around £160,000. I am not sure whether this is a typical figure.

Hi there shrimp I am not technical expert but, yes you can offer a full and final iva. Possibly your only snag could be hsbc as they have been requiring 40%. Your best thing to do would be to talk to an IP and see what solutions they think viable for you.
Added this bit after. Answering your questions, yes lots have done this. Not sure due to hsbc. Once accepted then the rest of the debt is written off and you are debt free. You will have the same problems getting credit though.
As said wait for other answers.

Ang

Please visit my blog at http://aguise.blogs.iva.co.uk/

Thank you....I have read that HSBC is causing problems, but hey they were the ones that approved a business loan in the first place with out even a proper business plan! In hindsight this was obviously my error as I got the figures wrong and lept with my heart not my head but I wish there had been someone who made me slow down and look at things properly...they approved it in just 10 mins and the money was in my account the same day!!

Shrimp our bank manager at lloyds said to us 'what are you going to do with all the money you are going to make' when we signed the final papers for our business. Throughout the sale I had raised a few concerns with him about the price we were paying and the accounts (not enough info). He said that he'd been running the account for that business for 3 yrs with no problems. I have since found out that a previous owner is now bankrupt.
It is easy to look back & think of all the things you did wrong but if no one took risks there wouldnt be any businesses out there...
Lots of successful people have had huge financial problems / bankruptcy in the past. It must be down partly to the experience they have gained going through this ordeal !

Hi Ellie553

Thank you....I do know that most successful people have failed one way or another in the past...and although finacially things are bad, I have learnt and grown unbelievably as a person. I have recently started a new job which I love, and amazingly am doing well. I do believe that if I had not gone through so much then I wouldn't have half the skills I have today.However all that being said I still wake int he middle of the night wondering what if I'd taken a different road...am currently waiting to hear from the IVA people to put together a proposal and am hopeful that from the sale of my house I will be able to raise enough equity to pay off my IVA as a lump sum. I wish you well in any future venture...