How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Buachaill Your Own Question
Buachaill
Buachaill, Barrister
Category: Law
Satisfied Customers: 10623
Experience:  Barrister 17 years experience
53108719
Type Your Law Question Here...
Buachaill is online now

I have an IVA to control some debt, basically when I was

Customer Question

I have an IVA to control some debt, basically when I was married we did all credit cards and finance agreements in my name as he already had bad debt so couldn't get anymore and my credit score was great as I have never missed a payment on anything in
my life. But we divorced and because everything was in my name I was left with over £26000 worth of debt and because of only having 1 income then I could not afford them so I got into an IVA and have been paying it fine until the payments were due to go up
this year and now I cannot afford it so have missed 3 payments on it now, I have asked them to reduce the payments but don't think it viable because I was already paying the least possible even though my circumstances have changed since taking the IVA out
they are not helping me. I was going to just ignore the debt and let the IVA fail but I know that wont help my future and was hoping for advice please. getting desperate and worried. Thank-you
Submitted: 1 year ago.
Category: Law
Expert:  Buachaill replied 1 year ago.
1. You have two basic options. The first one is to rengotiate your IVA. Here you should contact your Insolvency Practitioner who arranged your IVA and inform him of your changed circumstances and your changed Income & Expenditure situation. He may be able to renegotiate the terms of your IVA. Be aware that a change or reduction of 15% is possible without calling a creditors' meeting. It seems as if the increase in payments this year is what is causing the problem. So some wriggle room might be possible here. 2. The SEcond option is to go into bankruptcy. This is only an option if you don't have a lot of equity in your home. If you have any substantial amount of equity in your home, or a high paying job, then you are better off doing an IVA again by renegotiating it. A bankruptcy will get you a clean break from all your debts. However, it does mean that you will have to give up any assets your own. However, it will enable you to start again. 3. Please RATE the Answer as unless you RATE the Answer your Expert receives none of the monies you have paid the website so there is no incentive to answer any further questions.
Buachaill and other Law Specialists are ready to help you
Customer: replied 1 year ago.
Hello, is it an option for me to disappear off the radar for 6 years and hope the debt gets wiped?
Expert:  Buachaill replied 1 year ago.
4. Trying to "disappear off the radar" is a dangerous approach as nowadays the debt collection agencies hire private investigators to pursue people who try to disappear. YOu are better off deal with the problem, rather than run from it. The law will give you a discharge from bankruptcy after a year and this is better than six years running.