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s_d
Junior Member
175 Posts |
 Posted - 03 June 2008 : 15:01:55
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Hi
I was referred to this website through the IVA online forum (www.ivaforum.co.uk)
I am in the process of applying for an IVA. My IP has advised me that I have a disposable income of £270 and that I am eligible for an IVA. But the IVA in my opinion is a bit unstable because it relies heavily on "guaranteed overtime" and very basic living expenses.
I also wanted to have health insurance and life insurance on there but this is not an option for me with my present income. My IP also asked me if I was willing to make a sacrifices on my educational front etc in order to make the IVA more viable.
Any advice is appreciated.
Cheers.
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m and v
Average Member
United Kingdom
760 Posts |
Posted - 03 June 2008 : 15:30:14
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Hi sd
Have you "shopped" around with outher IP's? What about Melanie Giles- expert on both this and the IVA forum?
I have just come out of a failed IVA so can appreciate how important it is to get the figures right and not to leave yourself absolutely stretched as I did!
A BR expert will be on line soon - so hang around for their responses. It would be a shame to sacrifice your education at this stage if there are other options.
Vicki x |
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JulianDonnelly
Junior Member
United Kingdom
325 Posts |
Posted - 03 June 2008 : 17:09:39
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Hi S D and welcome to the forum.
It is worth noting that the allowances for expenditure in BR are far more reasonable and realistic than in an IVA. However, it is a difficult one to call in your case, so why not call the helpline and someone can go through your case in much more depth?
Regards
Julian Donnelly
Spokesperson for www.Bankruptcyhelp.org.uk |
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s_d
Junior Member
175 Posts |
Posted - 03 June 2008 : 18:19:11
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Well basically I have allocated an bare minimum allowance for my expenses and public transport. This is what makes the IVA possible as it is just over the £250 mark.
One quick question though, if my IP says that an IVA is possible even with such extreme compromises but I disagree, can an Insolvency judge say the same and force me to get into an IVA or DMP?
Cheers. |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 04 June 2008 : 00:28:29
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| Hey Ross, just thought I'd say hello, I'm glad you came over here, hope you get the answers you're looking for. Viki X |
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m and v
Average Member
United Kingdom
760 Posts |
Posted - 04 June 2008 : 08:15:04
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Hi sd
The judge will want to know you have looked at all the options before declaring yourself BR - which it looks like you have.
IVA takes every penny of your disposable income, my IP went through my figures and suggested a repayment of £355 a month (which seemed so achievable after trying to pay loans, credit cards etc for months)
When my creditors met they decided I had more disposable income and the repayment shot up to £579 and I could not get them to re-assess it. So my IVA eventually failed.
In BR I have been able to realistically log all my outgoings and realistically log my husbands contribution (his disposable income) and our disposable income is that low that I don't now pay anything into my BR.
So please make sure that the figures add up - that your IVA takes into account everything so you don't end up in a failed IVA.
I know it's not an easy decision but take your time to consider both!
Good luck!
Vicki x |
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s_d
Junior Member
175 Posts |
Posted - 04 June 2008 : 12:57:01
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| Can a judge (or my IP) say that a DMP is better suited than a BR? And what if the judge can prove that my disposal income fits into a IVA at the hearing? Cheers. |
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Helpful Advice
Average Member
United Kingdom
646 Posts |
Posted - 04 June 2008 : 13:09:13
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Hi s d,
The Judge will evaluate if you are insolvent.
If you have no assets and debts exceeding these assets unless you can identify a considerable disposable income then the order will be made.
Kind Regards,
Brett England
Bankruptcy Specialist
England,Jackman & Spacey
WebSite www.ejands.co.uk
View my personal story & blogs at:
http://brettengland.blogs.bankruptcyhelp.org.uk/ |
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m and v
Average Member
United Kingdom
760 Posts |
Posted - 04 June 2008 : 13:10:45
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From my experience the judge just looks at the information you have put on the forms. My judge just asked me if i had taken expert advice and was aware of the impact of going BR.
I don't think they question your decision as such just make sure it is an informed decision.
(Julian/experts - can you verify that??)
He didn't go into any detail about specific debts, creditors, or even my failed IVA.
The OR will want to know more about your debts and creditors and what disposable income you have to pay into an IPA (if any)
If you are doing the petitioning its your decision, having looked at other options. The important thing is to decide whether you can realistically commit to an IVA for 5 years or whether BR is the better choice in the long run.
Hope this helps - a BR expert will verify the bit about the judge soon.
Vicki x |
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s_d
Junior Member
175 Posts |
Posted - 04 June 2008 : 13:20:31
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Did you do the BR paperwork on your own or did someone help you with the process? And did the BR affect you as much you thought it would in the long run?
cheers. |
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m and v
Average Member
United Kingdom
760 Posts |
Posted - 04 June 2008 : 15:33:48
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Hi sd
I filled in the form myself with help from the lovely Brett England and by asking questions on this forum.
I rang the number on Brett's web-link and he called me back the same day. Excellent advice as I needed it.
If I am honest it's not made one bit of difference!
I don't intend to have credit in the future - at least not for a long time so BR can stay on my credit record for as long as it likes.
No-one knows, not my family, friends or boss ( or at least they haven't mentioned it)
I now have a bank account - I never had one whilst in my IVA but have opened a co-op account after going BR. Highlight of my year was receiving my debit card!
I can now sleep at night, don't wake up in cold sweats and am really excited about being debt free and having a clean start.
BR is not an easy decision but was definately the right one for me!
Vicki x |
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Helpful Advice
Average Member
United Kingdom
646 Posts |
Posted - 04 June 2008 : 15:41:45
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Hi Vicki,
Thank you for those kind words, I was really glad to see you updated to forum expert, with the help and advice you have been giving it was well deserved and supported whole heartedly by me.
Kind Regards,
Brett England
Bankruptcy Specialist
England,Jackman & Spacey
WebSite www.ejands.co.uk
View my personal story & blogs at:
http://brettengland.blogs.bankruptcyhelp.org.uk/ |
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m and v
Average Member
United Kingdom
760 Posts |
Posted - 04 June 2008 : 15:50:55
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Thank you Brett - I couldn't have done it without your help, I would have been sat waiting for my creditors to declare me BR!
Very honoured to be promoted to an "expert" - it's a lot to live up to but am learning all the time!
Its a priviledge to be able to help others - no-one knows what it is like to go through BR better than someone who has!
If you ever set up an office "up north" let me know!!
Vicki x |
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s_d
Junior Member
175 Posts |
Posted - 05 June 2008 : 13:49:08
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I hope to take out a mortgage after the next 5 years or so. So I am thinking an IVA is possibly the best course of action. And if the IVA fails how can I convince my creditors that I then need to go for a bankruptcy?
Cheers |
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m and v
Average Member
United Kingdom
760 Posts |
Posted - 05 June 2008 : 14:04:44
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Hi sd
In my case I struggled to meet the IVA payments from day one (that's why it's so important to be sure you can meet the payments as it's difficult to get the IP to reduce them)
By Jan this year I had had enough and decided to go BR. I missed Jan , Feb and March's IVA payments to save money for BR costs. I didn't have to convince my creditors - I told my IP I was going BR and they gave me a letter to take to court that confirmed my IVA had failed.
If I had gone BR in the first place I would have been two years through my six year period of having BR on my credit record. As it is I have in affect extended that by 2 years by struggling with the IVA.
Learn by my mistake!!
Hope this helps
Vicki x |
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s_d
Junior Member
175 Posts |
Posted - 05 June 2008 : 14:37:11
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My IP thinks that my IVA is realistic. But it's mainly because I said that I can rely on my overtime and this is reflected on the last 3 months payslips. But I feel now that it's not. I had a 4-5 months of a good run but it's wearing me out a bit.
Will the court ask me why I didn't pursue the IVA when I was told it would be realistic? Cheers. |
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Any advice is appreciated.
