Or Want To Claim My Redundancy Payment 7 Months After Im Discharged But Im In A Ipa?

redduster

Hello there as the title says the OR wish to claim my redundancy payment from work.


I was made bankrupt in may 2007 and discharged in may 2008 and was made redundant in december of 2008 as of yet i still have not found a new job.

Recently in Feb they sent me a letter claiming they want the redundancy payment forwarding to them as its a asset. can they do this? as i was formally discharged in may of last year but not got this payment and knew nothing of the redundancy until december of 2008 i was paying £55 a month up until this point in a income payment agreement. This has been suspended and i got the letter.

I have until this point been using the money to live off and pay bills etc as my partner has been made redundant also but with the mortgage in joint names with her ex partner the insurance refuses to pay out so were having to still find 1/2 the mortgage payment as insurance only pays 50% even though we changed it to her name only but got caught by the 60 day exclusion on the 58th day

Please help as im losing sleep over this as i have no idea how to find the money to pay them. If i cant will they force me to go bankrupt again??

thanks in advance for your help

tigerfeet2006

Did you not inform the OR when you got the redundancy payment? You are legally bound to tell them of any changes to your income. They can't take the full amount but they can take the portion that is not to cover your basic wage I think. Some one will correct me if I am wrong.

While you are in an IPA whether suspended or not then you inform your OR of all changes.

Have a chat with one of the debt charities to make sure you are recieving all the help you can get benefit wise.

skylight

I don't see a redundancy payment as income. If you were to bank the money and use the interest as income then that would be different (not that there would be enough to do this!) But a lump sum after you are discharged?? Its not seen as income for taxable purposes either????

If the money has gone, then tell them that. Tell them exactly what you have told us - there is no money left, you have used it all for living costs whilst you were out of work. A few thousand pound does not go far when you have bills and mortgage/rent to pay over the months.

Also, who is actually telling you they want the money? Your actual ORs or the company involved in the IPA collection??

tigerfeet2006

From an earlier post by Fermi

http://www.insolvency.gov.uk/freedom..._2.htm#31.5.14


Quote:
31.5.14 Redundancy payments.

A bankrupt may argue that as he/she no longer has a job, any redundancy payment he/she receives will be his/her income. Case law has established that a redundancy payment represents compensation for loss of a job: Hindle v Percival Boat Limited [1969] 1 WLR 174, and Wilson v National Coal Board [1981] SLT 67. Although the amount of the payment is related to length of service and to the level of past salary, it does not constitute compensation for loss of earnings. A redundancy payment will be made to an employee dismissed by reason of redundancy, even if that employee immediately secures another job, and even if that job is at higher wages.

31.5.15 Protecting and realising a redundancy payment

A redundancy payment whether received before or after the making of the bankruptcy order should not therefore be treated as income and the possible subject of an income payments agreement or income payments order but as an asset and realised accordingly.
If the bankrupt has not received the redundancy payment at the date of the bankruptcy order, the official receiver should remind the bankrupt that he/she has an obligation under the provisions of section 333 to give the trustee notice should he/she acquire any property and that this includes the receipt of any redundancy payment. This reminder should be confirmed in writing. Where possible, the official receiver should obtain details of the payer, if it is a private employer or the Redundancy Payments Directorate if payment is to be made under the Employment Rights Act 1996, and arrange that the redundancy payment be made directly to the trustee.
But please take professional advice on that.

redduster

yes i notified clark wilmot the month before i was made redundant and the day i was made redundant they told me to forward copies of p45 and final wageslip etc which i did as i got them this was 22nd december i got them they said they would notify the OR with my situation

redduster

it took until 9th february for the OR to contact me with this letter some 8 weeks after i was made redundant. were not talking about huge amount either only a shade over 1k but with the notice payment of 4 weeks pay i got by this time it had pretty much all be used on living expenses I called them right away and they said to email them explaining my circumstances i heard nothing so called them again today the OR said that they would look into it (looks like they forgot all about or are under a lot of work at the moment and not got around to me)

Also how long outside of my discharge can they claim any assets is it forever?

as they making the claim to this one some 7 months after my discharge when i was made redundant. until this point i had no knowledge of any assets (i.e redundancy payment) as until november i thought my job was secure

tigerfeet2006

As you are still under an IPA then you are obliged to tell them of any changes until the 36 months are up. After then you are home free and don't hae to tell them anything. Sounds like someone mucked up at the OR's office.

If they still insist on having the money after investigating it might be worth asking who the Assistant OR is and writing a letter outling everything and sending it recorded to him/her.