IVA Assitance

danielessex wrote: »

Hi guys,


Having had a pay rise and being in receipt of a company car, my payments to Payplan for my IVA (been in it for three years) has increased to £730 from £270 per month.

Few questions - my original debt was small for IVA standard (15k) but at the time, with my wage, it was massive. Had I been in the situation today, an IVA would have been a very poor option but hey ho - thats life. Now wish I had just gone bankrupt all those years ago but I cant change that now and at the time I thought that a bankruptcy would have ruined things for me much more than an IVA (if thats true, would you confirm for me because that would at least provide somewhat of a silver lining) It is difficult to say without knowing more. Bankruptcy could’ve risked assets and still involved payments for up to 3 years under an Income Payment Arrangement.

I reckon that I will now pay this off earlier but I dont want to pay over the odds. Im aware that to do this the full balances plus IVA fees will be payable - there is no provision of statutory interest mentioned within my chairman's report so not sure this is going to be payable. The interest should’ve been frozen in the IVA and statutory interest shouldn’t be applicable. Payplan have said they will gather information on what 100% of the balances will be and then let me know on the expected finish date. What should I be looking out for and also, how do I know how much IVA fees should be? IVA fees are generally thousands and vary depending on the IVA and provider. Chairmans report says something about 15% so what is that in reference to? You would need to look at the contract but it could be 15% of the debt you put in (which would be approx.£2250). Additionally the nominee fee being equal to the first five payments... If your payments used to be £270 when it started that could be an additional £1350.

Also, this new job is extremely stressful as its a sales position which, if I dont perform to expectations I will lose - if this happened, would my payment go down in line with potential lost wage? You would need to check if your IVA is subject to the IVA protocol which allows paymet to be varied by up to 15% without a new creditors meeting. I dont think it would be fair for the IVA to require a creditors meeting if payments went down to the original agreed rate... It depends on the terms and conditions of your IVA I am afraid.

Sorry for the waffle - my head is all over the place at the moment.

Thanks,

Daniel