www.iva.co.uk

I'd like to know, what happens if you could not make your payments due to someone now being registered disabled and cannot afford the monthly payments. A friend of mine has had this happen to them, they only paid into the IVA for 3 years and couldn't afford it after this. They contacted the company on numerous occasions advising of their situation but never heard anything from them, a year on they have now been in contact advising the matter was overlooked and are now threatening bankruptcy due to the none payments. What should they do?

Hi karens

Your friend should contact their IP as soon as possible to discuss the options, although as there has been a years delay it sounds like it may be too late to propose a variation to the terms of their IVA. Are they able to afford any monthly payments at all now? Or do they have a third party who could help them out with a lump sum to offer to their creditors, or do they have an asset to sell? These are potential options for a variation, but their IP will be able to advise further.

Hope this helps

Jane Finch
Insolvency Practitioner

AccumaGroup - A large insolvency practitioner service based in Manchester.
www.accumagroup.com

Hi Karens,

Speaking with the I.P would be the best way forward in this case. Although, I am disturbed that this situation went unnoticed for so long, especially after the IVA was paid up until the 3rd year.

Has your friend considered other debt solutions like bankruptcy or a Debt Management Plan?


Best Regards. IVA Experts

Hi Karens,

As advised by the other experts your friend certainly needs to speak to their IP firm ASAP. They can then discuss all the options available to them, and it may be possible to hold a variation meeting.

Kind Regards

Nicola


Finebridge Ltd
22 Laud Street, Croydon, CR0 1SU
0800 180 4212
www.finebridge.co.uk

Just another ? possible solution as the company

Ang overlooked it ,could they not ask for a varation meeting, with ? reduced payments, due to disability, and a one year extension to cover the loss. ? reduce IP fees due to the fact they overlooked it.

Sorry the Ang should have been at the end of the post[:I]

Hi
Just to agree with Ang,there must be a way forward for this case having paid it for three years.I,m sure the creditors would rather receive two years at a reduced amount than nothing at all.
They need to get hold of the IP and discuss a way forward and be sure that it,s the IP that your friend speaks too and not an assistant.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp