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Ky wen
Starting Member
3 Posts |
 Posted - 08 May 2011 : 20:56:16
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| we are paying 659 a month on iva. our income is around 2300. Finding it a struggle. 19 months left to pay. do you think we should go for bankruptcy? original debt 55000. |
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 08 May 2011 : 22:00:37
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Hi and welcome.
I would think long and hard about giving up your IVA as you are so far along.
If you are struggling then speak to your IP in the first instance, they may be able to help.
If you wanted to go bankrupt then you would need to let your IVA fail by missing three payments. Your fees would be £700 each from the beginning of June and your credit rating would be shot for a further six years.
The chances are that you will end up paying an income payment agreement for three years which could be the same as, or even more than you are paying now. The allowances are not as generous anymore in BR.
Do you have a house? If so there is no guarantee that you would be able to keep it.
Think long and hard before making a decision.
Double, double toil and trouble;
Fire burn, and cauldron bubble.
Jan
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 09 May 2011 : 08:31:15
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I agree with Jan, have a word with your IP if you are struggling and see if you can carry on with the IVA as you are so close to completing it.
Please come back to the forum and let us know how you got on.
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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Ky wen
Starting Member
3 Posts |
Posted - 09 May 2011 : 12:09:02
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Hi thanks for advice. We rent a flat, not homeowners. Recently spoke to ip providers. I think they are going to want us to pay more.I dont feel expenses allowances realistic, 2 kids 10 and 13.Just always so broke, maybe should have done bankruptcy instead of iva to start with?
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 09 May 2011 : 12:47:48
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Personally speaking, if you can carry on now I would. You'll be debt free in less than two years. Your IP can't ask you to pay anymore if you don't have the money.
If you go bankrupt now you will more than likely have to pay an IPA for three years and it could well end up being more than you pay now.
Who is your IP?
Double, double toil and trouble;
Fire burn, and cauldron bubble.
Jan
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Ky wen
Starting Member
3 Posts |
Posted - 10 May 2011 : 08:04:31
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Hi thanks again. ip is debt free direct. maximum food/household expenses allowed is 480 a month.kids activities 35. other expenses are rent, personal hygiene,clothing, fuel, travel, gas, car tax/maintenence, tv licence, phones, sky, contingency. our rent includes council tax and water for under 500- so we have good deal. but are living in 2 bedroom flat with 2 children- we have done a bedsit arrangement as cant afford to move. Are there any more legitimate expenses which I am not taking into account? petcare?, school expenses? Are school trips allowed? or holidays/birthday/ christmas. Things like printing ink for the computer? -we need it for kids' homework, but so expensive not able to get it- are these things classed as luxuries?
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Skippy
forum expert
United Kingdom
3290 Posts |
Posted - 10 May 2011 : 10:24:01
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I'm not sure whether school trips are allowed, but I know holiday/birthday/Christmas isn't. I would imagine that things like printer ink should come out of your contingency.
Have you spoken to DFD? It does seem a shame to go BR after all this time, and as Jan says the chances are you will have to pay an IPA for a further 3 years.
Have you posted on the IVA forum? Declan from DFD posts on there and I'm sure he will have a look into your case for you.
View my blog at http://skippy13.blogs.iva.co.uk/
Only when the last tree has died, the last river has been poisoned and the last fish has been caught will we realise that we cannot eat money.
Last IPA payment made on 28th June 2010 - it's over at last! |
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 10 May 2011 : 17:05:52
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The other thing as well with BR is that you won't be able to claim an allowance for Sky.
As regards printer ink - have you tried the refill websites or local companies? It's much cheaper.
Double, double toil and trouble;
Fire burn, and cauldron bubble.
Jan
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Do you think we should go for bankruptcy ?
