IVA - Case Studies

Stephens Case Study

Stephen is self employed builder aged 39. Five years ago Stephens marriage broke down and he became divorced and moved to rented accommodation. His wife and 2 young children remained in the home.

Stephen has since found a new wife and had a baby. He was left with a lot of credit card debts and loans from his first marriage,  which were under control at the time as both he and his wife were working at the time.

When Stephen left the marital home he had to find new accommodation for himself and he also had to provide financial support for his children to his first wife.

Due strain in his personal life and also unforeseen circumstances Stephens income also reduced as he was not able trade for as long as he would have wished.

Increase in interest rates, combined with the reduction in working hours and a new baby, combined with debts from his previous marriage resulted in Stephen experiencing an unmanageable financial situation. In addition to his debts, Stephen had neglected to complete his tax return and settle his tax bill.

Stephen is able to work full-time and wanted to continue to keep his building business. He accepted his responsibility to pay his debts, but could not see a way of doing so.
We helped Stephen set up an arrangement with all of his creditors, including the Inland Revenue.

An arrangement has been agreed with the creditors whereby Stephen is paying one single monthly payment, over 60 months. We have reduced his overall debts by almost 60%, and he will be completely debt free in five years.

Johns Case Study

John graduated from university four years ago with a degree in computer engineering. He found a good job working in the software development industry. He rented a flat nearby his work and spent money decorating and furnishing it to a good standard. As he graduated from university without any savings and some debts, he took out and loan and credit cards to pay for a car and his flat.

Unfortunately after 7 months, the company that John worked for went into liquidation. He lost his job and found himself without any income. He struggled to find a job that matched his old salary and position, and was out of work for over six months. When he did obtain a job, it was at a lower salary than is previous job.

During the time that he was out of work, John was not able to pay all of the ineterest on his credit cards and loans, and charges were applied. When John returned to work, he found that on his reduced salary and mounting debts, he was not able to meet all of his debts and living expenses.

With our help, John made and agreement with his creditors. He is paying a single monthly repayment over four and a half years. He will pay just over 60% of his debts and his creditors have agreed to wipe off the rest. John can now concentrate on his career safe in the knowledge that he will no longer receive any unwanted calls or debt letters, and they he will be debt free in less than five years.