Benefits and an IVA

Benefits, finances and funding
1

I have debts mainly credit cards, I have been paying them off for years through a debt management company.
I keep getting people ring up about an IVA, writing off 70 per cent of my debts, cancelling all interest charges.
I have always been told that as I am on benefits I cannot have an IVA?
Is this right wrong I don’t know.

2

Londonbound,
I don’t know the answer to your question but am always very suspicious of people just ringing up and offering me a product or “service.”

Use our debt advice locator | MoneyHelper might be helpful, choose a reputable organisation from their list such as CAB, to seek advice.

Others on here, might be able to answer your question more directly.

Melly1

3

It appears possible :

https://www.freemanjones.co.uk/iva/could-i-qualify-for-an-iva-if-im-claiming-benefits-0-3846-0.htm

A commercial site … caveat emptor … buyer beware ?

CAB on IVAs :

https://www.citizensadvice.org.uk/debt-and-money/debt-solutions/individual-voluntary-arrangements/individual-voluntary-arrangements-explained/income-and-assets-needed-for-an-individual-voluntary-arrangement/

Needless to add , be VERY wary of the numerous sharks out there in this sector !

4

I know a lot about IVA’s , my friend who was working, mountains of debt got an IVA through the CAB, paid £240 a month for 5 years and the debts were written off.

But I could never afford £240 a months, she was working, good job, good salary.

From what I understand the IVA company get a fee for doing this hence the phone calls trying to get people to sign up.

I would never sign up to someone I have never heard of phoning up, giving my bank details over the phone very dodgy, but they are very insistent. Anyone can get an IVA, I don’t think they can.

Just if anyone is on an IVA and on benefits, I am ill, I cannot work, I look after my disabled wife, I cannot just do extra hours to pay off the debt, I cannot cut out on a holiday because I can’t afford a holiday in the first place.

5

https://www.stepchange.org/debt-info/iva-companies.aspx

https://debtremedy.stepchange.org/quickassessment.aspx

6

Hello Londonbound,
Sorry to hear about this, I have passed your questions onto our helpline advice team and should have a response in a few days. Alternatively our adviceline is now open Monday-Friday 9am-6pm: 0808 808 7777 if you would like to discuss with one of our advisors who will be able to give for some more specific information.
Hope this helps and let us know if we can do anything else to support
Meg