Starting the insolvency process

[Overloaded]

So I have found the ip I want to use to close our business - shop still needs clearing but we have ceased trading and ip takes over Monday -

I feel great ! I know that sounds silly , and I am getting the worst letters calling in the numerous personal guarantees - but I calmly type and respond to each one - knowing most threats are fluff . I almost need the defaults and stuff passed over to be on a better negotiating position -
I can and will , sort payment plans or worst case Iva to get this all ended - although I would like to avoid

but they are threatening , to tell personal credit agencies , can they do this? As it’s a company debt with. Guarantor , so if they ruin my file , I won’t care if I get an iva

On the plus side , more time off, my kids uniforms are ironed and washed , I’ve made packed lunches - something I have been able to do in two years !

 

[Lisa Thomas]

Good luck with the Liquidation.

Your credit rating will not affect an IVA. It's the other way round - credit ratings are ruined by IVA's anyway for at least 6 years.

 

[Overloaded]

Thanks for reply - I think what is trying to say , is if they place default on personal credit file ( although I don’t know how they do this , as liquidator , said they can’t , and someone whose been through similar , said personal credit file remained intact ) I might as well do an iva for everything , as damage has been done

 

[Mark T Jones]

Put simplistically, when you enter insolvency the business debt defaults and becomes a personal debt under the terms of your guarantee. That debt is payable immediately so, if you can't meet that repayment, you are in default.

Some lenders will turn it into a loan, payable over a set term - this will simply show as a loan, others will immediately report a default.