I am currently in an IVA which I can no longer afford to pay. I think bankruptcy is now the only option. Where do I go from here? Also would need help with going bankrupt, obviously can't afford to pay alot for help. Any advice would be gratefully received?
if bankruptcy is the best way forward there are a few things that need to happen before you can move forward.
Firstly your IVA will have to officially fail. This would normally mean that you need to have missed 3 monthly payments to your IVA. Check your IVA agreement to confirm this.
You must then be in possession of a Certificate of Termination from your IP or, at the very least, have received a letter from the IP recognising your intention. Without either of these the Court is unlikely to accept your petition.
You will also need to have completed a Debtors Petition (form 6.27) and a Statement of Affairs (form 6.28) which you can acquire free of charge from the court at which your IVA was approved.
That's the start at least. If you have any assets they are treated differently in bankruptcy than in IVA so you should seek further advice before taking the plunge.
You might also want to discuss your payments to the IVA with your IP first. They may be willing to consider a variation if your circumstances have changed.
can no longer afford IVA
Posted - 24 November 2008 : 22:22:37
