Klaudia
customer background
Klaudia was struggling with unsecured debts over £50,000 made up of loans, overdrafts and credit cards. She took out a consolidation loan of £18,000 but this still left her with around £25,000 other debts with minimum payments in excess of £500 per month.
Klaudia struggled on for a few years but ended up with even more debt as interest had been added to her loan and she had to use credit cards to fund everyday living.
Klaudia had a property she was keen to protect and was desperate to avoid bankruptcy. She was referred to The Debt Advisor Ltd and it appeared an IVA offering her surplus of £368 per month for 5 years would allow her to repay around 34% of her unsecured debt.
situation before IVA
Total Unsecured Debt
Surplus income
Monthly commitment to creditors
Shortfall
approved IVA solution
Monthly contributions:
48 x £368
12 x £617
(Creditors requested an additional 12 payments at the meeting of creditors)
Mortgage balance
Property worth
Total to be repaid by client
Divided accepted by creditors (per £)