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dazza943
Starting Member
United Kingdom
3 Posts |
 Posted - 13 September 2010 : 21:24:39
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Hi Hope people can help with some advice.
Me and my wife are currently in an IVA. Have been for nearly 2yrs. We are finding it tough as everything is falling down around us. Car, house etc and havent got the spare cash for repairs and re wires etc. After much thought we both agree that bankruptcy may be an option, giving up the house and starting a fresh with absolutely no credit. Could people please let me know your experiences and ups and downs just so we can make an informed decision.
Many thanks
Daz |
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gettingoutofdebt
forum expert
2418 Posts |
Posted - 14 September 2010 : 07:53:05
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Check out Skippy's/Tracey's blog at http://skippy13.blogs.iva.co.uk/. She was in a similar situation to you and ended up letting her IVA fail and declaring BR.
I would say the first step is to speak to your IP to see if the IVA repayments can be reduced. You are almost half way through your IVA so it would be a shame to let the last 2 years go to waste. |
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moodybluetwo
Junior Member
156 Posts |
Posted - 14 September 2010 : 08:38:59
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| Hi Daz...I’m no expert in BR...but it seems to be working for me. I was in an IVA for over a year..then a creditor from my past came along and got added to the IVA making it 5 years again. To be honest there may be other creditors from my past that are still out there...so I looked at the differences between IVA and BR. Again I will say I’m no expert but I feel IVA is nearly as bad as BR...but with no definite closure. I don’t own my property and my car is not worth a lot so I cannot loose much here. So all being well on 10 August 2011 I will be free from debt and able to start again...4 years before the IVA was going to finish.! |
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Hutch
Starting Member
25 Posts |
Posted - 14 September 2010 : 11:40:19
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Hi Daz,
My husband and I were looking into an IVA and due to the fact that we would have almost no money to live on for the next 5 years and live in an old house requiring lots of maintenance, we decided to make a clean break of it and go down the BR route as we felt any IVA had a high chance of failing.
We will be losing our house in doing this but have decided to use the BR to make a complete clean break of ALL debts and are looking forward to being completely debt free and having the chance to learn from our past mistakes and start again.
I can't yet tell you whether we have made the right decision as we are actually declaring BR tomorrow but we have a baby son and feel that what we are doing (while terrifying and such a serious step!) will undoubtedly be the best in the long-term for him.
My only advice would be to read lots of posts on this forum as it does provide a great support network but do take advice from a professional (your IP would be first point of contact). And good luck with whatever you both decide to do.
Hutch |
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dazza943
Starting Member
United Kingdom
3 Posts |
Posted - 15 September 2010 : 17:14:56
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Hi All
Thanks for your replys they have been really helpfull.
Hutch Hope all goes well and you have got what you wanted. Did you move out of your mortgage home into private rent before you went bankrupt? I have been advised by a caller from this website to do just that. Did you go at it alone or with a company? She has quoted me fees of £600 to help get me and the wife through the paperwork ect. Does anyone know if this is a fair price? ( im already trying to be smarter with my cash lol)
Hi. Im in an IVA, a homeowner and considering bankruptcy |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 15 September 2010 : 17:29:26
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Hi dazza943,
As it was me you spoke to I shouldn't really comment!
As discussed earlier, you can do this yourself, but many people choose assistance.
I'm sure there are forum members who can give you their views.
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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Hutch
Starting Member
25 Posts |
Posted - 16 September 2010 : 08:58:09
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Hi Daz,
All went as well as could be expected yesterday. We were at the court for about 3 hours in total and as there were about 6 people declaring BR we all saw the Judge together. Just waiting on the phone call from the OR now to arrange the interview so although I feel relieved I won't be able to truly relax until the interview is over!
Before going BR we spoke to one of the experts on here who advised us to plan for our BR and if we were sure we were going to lose the house then the first thing to do was to secure somewhere to live. So we stopped our credit card and mortgage repayments to save up deposit and first months rent and found a place to rent through a rental agency. We passed the credit check as none of the defaults had yet shown on our credit file. We are due to move into our new place and start our new life in a couple of weeks and can't wait.
Obviously it will be more difficult for you as your credit file will already be impaired due to the IVA but I've read lots of threads on here where people secure rented accommodation through private landlords (who don't usually credit check) - you could look at Gumtree on the net.
In terms of filling out the forms, we didn't have any problems - they are a bit confusing in parts but nothing that you couldn't do yourself as long as you have all the info to hand (which you should do after doing your IVA proposal). I personally wouldn't pay £600 for assistance unless my affairs were particularly complex but its up to you.
Good luck and remember that if you are going to file for BR you first need to fail your IVA which I believe is non-payment for 3 months.
Hutch |
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dazza943
Starting Member
United Kingdom
3 Posts |
Posted - 16 September 2010 : 15:28:54
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Hutch,
Glad all went well. Thanks for replying, reading about your experience is helping me alot. I thought i knew almost enough to consider BR unitll you mentioned the OR meeting. I thought as soon as you had seen a judge it was all set up. Now i know to do alittle more digging before i commit.
Thanks again
Ok so more questions to anyone out there.
I take it any outstanding utillity bills that i have at the moment in my mortgaged home like gas bill, electric bill and any other outstanding sums should be included in the BR?
Can i keep my virgin TV, Internet or do i have to include them if still under contract?
Do insurance companies look badly towards BR by uping premiums etc?
Does BR allow you to keep life and income insurances?
Thanks for your patience and hopefully i can return the favour to someone else when im done and been through the BR
DAZ
Hi. Im in an IVA, a homeowner and considering bankruptcy |
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After much thought bankruptcy may be an option
