If you need debt advice we can help

[Becki271]

I am hoping that you may be able to help/advise me. Setting up our IVA was very lengthy and stressful process. Thanks to recent huge garage bills over a 2 month period I had to organise a payment break with IP. But just when I thought things couldn't get worse I find out that's my mother who has mental health issues (bipolar disorder etc, I have this also) used an old cleared off catalogue account that I no longer used after IVA, and ran up a hefty bill (£1400 on it). She is on benefits no cant pay it back. I remember the rule about not getting into further debt during IVA and I am terrified about the IP finding out. Despite my own ill health I am trying to do overtime to clear the debt off. I don't know what else to do. It is making me ill with the stress of it.

[Hayden]

Hello Becki271 and welcome

Sorry to hear about your situation. Just so you are aware it is not unusual for additional borrowing to happen once an IVA has already started. The first thing you need to do is speak to your IVA company and tell them what has happened. They will not be happy but it is not your fault so they should be wiling to work with you to find a solution.

Given the new debt is relatively small and there is a good explanation for it your IVA company should agree to simply add it to your current agreement. You should agree to pay a few extra payments at the end of the IVA to ensure all the original creditors still get the same money. The alternative to this is extending your current payment holiday to allow you to repay the new debt.

I suggest you speak you your IVA company about these options first of all and see what they say. Please let us know how you get on and then we will be able to advise you further.

[Melissa S]

Hi Becki271 and welcome

i agree with Hayden, it may be possible to add this new debt to your IVA. I know it can be worrying to have to inform your IVA company but this really is the best option. they may be a little annoyed but ultimately they are the ones can help you. As hayden suggested you may be able to extend your payment holiday to pay off the debt or have the new debt added.

I would suggest making sure that there are no other forms of open credit so this cannot happen again.

Your IVA company will have dealt with this situation before so please remember that. I have attached a link to an article that I think will help you below. Please let us know what your IVA company say and please ask if there is anything else we can help you with.

Can I add new debt to my existing IVA?