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Which Way Now
Starting Member
United Kingdom
11 Posts |
 Posted - 10 September 2010 : 19:06:36
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Hi All
I have never posted on the BR site before, but would like some help if possible please?
I have been in an IVA with my husband for two years and up to now things have been going OK apart from the fact that we are paying over so much per month into it. We are seriously considering going bankrupt as we have no life and although the IVA has been great for getting us back in the black and learning how to budget properly, we work so hard and feel that it is all for nothing. We need a life as we are both so down at the moment.
Would anyone advise coming out of an IVA to go BR? We know that it is an extreme decision to make and have weighed up all the pro's and con's as we did when we opted for our IVA.
We haven't a clue how much we owe to our creditors now, as we do not get any correspondence from any of them anymore.
We have approached our IP for advice and we feel so terriby guilty as she has been wonderful for us and would come highly recommended, but we just need to put these money worries behind us once and for all.
Another question that keeps going over and over in my head, is, we are two years into a 6 year IVA. Can anyone tell us what your disposable income has to be which makes you eligible for IPA payments as I suppose we have to ask the question, if we end up with an IPA which will last three years, are we just better of sticking with our IVA?
So sorry to bombard you with questions but we are so confused and would love some advice if possible please as we don't really know what option is best for us.
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 10 September 2010 : 19:12:24
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Hi which Way Now,
Your insolvency practitioner can go through the pros and cons with you as they know the specifics of your situation, ie assets etc, so I really suggest that you have a good chat with them.
If your income and expenditure hasn't changed then you will probably have an income payment agreement. You need to have a surplus of £100 for them to claim one. It may be that the payments are less than your IVA, it may not.
Viki Warbrooke
Vincent Bond & Co
If you would like free advice on all options available and help with your bankruptcy petition please contact me at http://www.vincentbond.com/about_us_Viki_Warbrooke.asp
Please read my experience of debt via my blog at http://vikiw.blogs.iva.co.uk/ |
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Which Way Now
Starting Member
United Kingdom
11 Posts |
Posted - 10 September 2010 : 19:20:12
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Hi and thanks Viki. I remember you when we were going through our IVA two years ago, I hope you are well, you will probably remember me as 'Kazzy' from back then.
Thanks for your kind response. As I say, I have contacted my IP and I am sure she will respond in due course as she always does. By what you say about the IPA, we will probably be made to pay one if we go BR then, do you know how this is worked out, is it a percentage of your monthly disposable income?? Sorry to appear naive but we really don't know about BR as this is all new to us.
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 10 September 2010 : 19:46:37
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Oh my goodness Kazzy, lovely to hear from you.
I hope you are ok.
Yes, it's a percentage, 50-70% and there is a table in Skippy/Tracey's blog, so you can get a rough idea.
Why don't you contact a couple of experts on here and get an idea of how much you may have to pay.
Keep in touch hun.  X
Viki Warbrooke
Vincent Bond & Co
If you would like free advice on all options available and help with your bankruptcy petition please contact me at http://www.vincentbond.com/about_us_Viki_Warbrooke.asp
Please read my experience of debt via my blog at http://vikiw.blogs.iva.co.uk/ |
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debtinfo
forum expert
2826 Posts |
Posted - 10 September 2010 : 19:50:24
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| Hi which, An IPA is nearly always less than an IVA which is good, but their are other considerations for instance do you have any property or jobs that would be at risk in a bankruptcy |
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Which Way Now
Starting Member
United Kingdom
11 Posts |
Posted - 10 September 2010 : 19:57:32
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Oh bless ya hun, I am so glad you remember me and was so glad to see your name on here still giving such valuable advice.
I will check out Skippy's blog and her table and see if I can do some calculations.
The thought of BR is so very daunting and I still don't know whether it is the right decision to make. The IVA has been a very safe place to be, but like I say, we are paying out huge amounts into it each month and the next 4 years being miserable seems such a long way away  .
xx |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 10 September 2010 : 20:01:38
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Ah, it really is nice to see you on here. I was quite worried about you at one stage.
If you're unhappy, sit down and look at what assets could be at risk or as debtinfo said, check your jobs are ok. Do some calculations and have a good old chat. You'll come to the right decision, and you have a fab IP who will support you, as will we.
Keep posting hun. X
Viki Warbrooke
Vincent Bond & Co
If you would like free advice on all options available and help with your bankruptcy petition please contact me at http://www.vincentbond.com/about_us_Viki_Warbrooke.asp
Please read my experience of debt via my blog at http://vikiw.blogs.iva.co.uk/ |
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Which Way Now
Starting Member
United Kingdom
11 Posts |
Posted - 10 September 2010 : 20:01:40
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Hi Debtinfo. We do not own property as our house is rented through a housing association. I am slightly worried about the implications on my job, but I have a fantastic boss and although at the moment he doesn't know anything about my debts, I like to think that I can approach him and he will be understanding. If I do decide to go BR, then I will approach him by selling to him that it is a positive move to lessen stress at home and at work, instead of it being all seen as negative.
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debtinfo
forum expert
2826 Posts |
Posted - 10 September 2010 : 20:06:22
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| If you have any other questions then do ask, obviously if you do go for bankruptcy (which i am not telling you to do, it has to be your decision) then you want to be aware of all the details first |
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Which Way Now
Starting Member
United Kingdom
11 Posts |
Posted - 10 September 2010 : 20:12:16
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Thanks Viki and Debtinfo. I am sure I have loads of questions I need to ask before I make my decision. There are a couple now that you may perhaps be able to help with:
1) Is there any way I can find out what the outstanding balances are on the debts in my IVA?
2) Is there an I&E form with any guidance notes on whether we qualify for bankruptcy having been in an IVA?
3) Does the OR frown upon people for going BR when they have been in an IVA? Is this seen as a breach of the IVA agreement and are you criminalised in any way for this?
Thanks guys for listening, I really appreciate it, I feel better already.
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debtinfo
forum expert
2826 Posts |
Posted - 10 September 2010 : 20:18:35
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1) the amounts are likely to be about 90-95% if not more of the amount you went into the IVA with. If you do stop the IVA then the supervisor shuld give a final statement with the balances on.
2)Basically If you are insolvent which you are if you were in an IVA then you would qualify for the bankruptcy.
3) if anything it is looked on favourably tat you have spent 2 years trying to pay as much back as possible. Most people who have been in an IVA have a shorter interview with the OR as the debts are old and there has been no recent credit use.
One thing that you could also look at if you are struggling with the payments is asking the supervisor to reduce your payments, most can up to 15% particularly if you have had any changes in your circumstances |
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Which Way Now
Starting Member
United Kingdom
11 Posts |
Posted - 10 September 2010 : 20:30:41
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Thanks so much for your responses. We are currently undergoing our annual review and I have just submitted some paperwork that was requested by our IP's assistant. I am sure I will hear by the end of September as to what, if any, increase will be incurred for the coming year as our IVA was agreed in the month of July and our IP has informed me that the review has to be concluded within two months of the anniversary date.
What I really need to work out is, whether an IPA payment will be more than our IVA payment. We are currently paying in £590 per month with 50% additions for any overtime payments we receive. Where we also feel we lose out is, when there is a 5 week month, my husband gets 5 weeks pay, and he has to pay 50% of this full weeks pay over also when the 5 week months occur as it is regarded as additional earnings. This seems so unfair.
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debtinfo
forum expert
2826 Posts |
Posted - 10 September 2010 : 20:46:51
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put it this way, i have never seen an IPA payment be more than an IVA
The bankruptcy allowances are usually a little bit more lenient than an IVA and at the moment an IVA tkaes 100% of your surplus. On the same surplus an IPA would only take between 50 and 70% the other part you get to keep |
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Which Way Now
Starting Member
United Kingdom
11 Posts |
Posted - 10 September 2010 : 20:50:43
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| Before I make any rash decisions, I will wait for my IP to respond to my request for advice. I have the utmost faith in her and I know she will give me best advice for my situation, especially as she knows my case and has looked after it for the last two years. I will do some calculations myself to give me an idea, but thanks Debtinfo, I really appreciate your advice.. Thank you. |
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Which Way Now
Starting Member
United Kingdom
11 Posts |
Posted - 11 September 2010 : 16:37:14
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| Would anyone know how I can find out the balances to my creditors that are in my IVA before I make a decision on bankruptcy? |
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Which Way Now
Starting Member
United Kingdom
11 Posts |
Posted - 11 September 2010 : 18:08:33
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| Also, I read somewhere that the BR notice doesn't go into your local newspaper anymore and only goes into the 'daily' paper like the Daily Mail. Is this true? |
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BR versus IVA
