My mate has got a debt plan and the payday loans that he has isnt agreeing to it. Is it the same with an IVA or will payday loans companies block it in the same way? He is thinking about switching if you can help please with details thanks
Payday loans companies often agree to debt management plans (I think your friend is on a debt management plan?) so I think he has been unfortunate if they haven't agreed to the offered repayments.
IVA's work quite differently to debt management plans. A small creditor that objects to a debt management plan can sometimes render the DMP useless. However, in an IVA smaller creditors can be bound by the terms of the IVA so long as enough creditors vote to agree with the proposals. The larger creditors typically agree to IVA cases so long as the company handle it meets the guidelines that the creditors set.
Subject to other circumstances your friend may therefore wish to consider a switch.
It would be interesting to get some feedback from Mike or Beverley about how payday loan companies tend to vote for (or against) IVA proposals when they receive them.
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