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paul51
Junior Member
United Kingdom
187 Posts |
 Posted - 26 May 2008 : 16:59:38
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My stepson is considering bankruptcy for the first time.He is currently in an IVA and has decided rather than continue with the payments he wishes to go BK.
He has a car on HP which he intends to contact the company shortly to get them to collect it.
He has no assets but the one concern I have should he look for a flat/bedsit before going BK as we are concerned he wont be able to move out after going BK.
Also what will the timescale be for him.
Thank you. |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 26 May 2008 : 17:06:56
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| Hey Paul, welcome to the forum, an expert will be along shortly to advise you. Do you know whether your stepson has contacted his IP to tell them of any problems as his IVA payments might be able to be reduced. Viki X |
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debtfreesusie67
Junior Member
256 Posts |
Posted - 26 May 2008 : 17:31:37
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Hi Paul
I just want to say hi as well
Sue |
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melanie_giles
Senior Member
1191 Posts |
Posted - 26 May 2008 : 18:30:08
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Why has your grandson decided that bankruptcy is a better option for him? He will still probably have to make monthly payments for a three year period if he has disposable income.
With regard to renting, it would be better to find somewhere before he declares himself bankrupt, and most Courts these days will want notification that the IVA has failed and the reasons for this before granting an Order.
For an informal chat about any financial difficulties, or advice as to the options available, I can be contacted via my website - www.melaniegiles.com |
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paul51
Junior Member
United Kingdom
187 Posts |
Posted - 27 May 2008 : 08:05:00
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Thank you all , He has decided that the payments made to his IVA do not leave him enough money to love on.He has to pay £220 per month but finds this too much.I have tried to explain to him that an IVA is in place for him for the remaining 3 years and that you would not have a lot of surplus income.Its all about budgeting. Still I said to him that i would get some advice.
Thank you for that.I will give him you e mail address Melanie if thats okay. Thanks |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 27 May 2008 : 10:24:27
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| Hey Paul, it would be really sad if his IVA failed, has he approached his IP because they may go through his income and expenditure and be able to reduce his payments. They will not want it to fail so they should be able to try and help. As Melanie says, he might still have to pay for three years in bankruptcy and so it will still run for the same time. Also he will have had to fail his IVA and have a letter from his IP to that affect to produce at the courts. I really hope he can sort this out. I'm not an expert though this is just my opinion. Viki X |
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JulianDonnelly
Junior Member
United Kingdom
325 Posts |
Posted - 29 May 2008 : 10:05:30
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Hi Paul51,
Indeed, continuing with the IVA may be an option. However, the allowances for expenditure in BR are far more reasonable and realistic than in an IVA. In addition, 100% of disposable income is usually taken in an IVA, whereas in BR it is 50-70% (and that is only if an IPA/IPO is warranted).
Regards
Julian Donnelly
Spokesperson for www.Bankruptcyhelp.org.uk |
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Bankruptcy general question.
