www.iva.co.uk

I have a large amount of debt but I am getting a huge bonus in July which should pay most of it off. However, I don't know how on earth I can make ends meet in the meantime and don't think I am the right candidate to take an IVA. What should I do in the following few months? I cannot get any more credit to service my debts in the meantime so am panicking!

Hi Chris and welcome to the forum

I suggest you write to your creditors and tell them about the bonus and how much you expect to receive. Also send them a statement of your current income and expenditure, so that they can see that you can only afford to pay a certain amount (even if it is just a token payment). Make sure you then stick to a payment plan in the meantime, and pay them off as soon as you get the lump sum.

Don't be afraid of your creditors - some of them can actually be quite helpful in these circumstances.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk

Thanks Melanie. Will that give me a bad credit rating and is it likely they will let me keep my cards once I pay them off in July? Chris

If you agree an informal payment plan with your creditors this won't necessarily affect your credit rating although this will be dependant on whether any of your creditors place a default notice on your credit file.


Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp