HELP:Challenging an IPA?

BOBI_3

What should I do?


After being made b/c in april I received early discharge form recently. I completed my income/expenditure form a few weeks ago but since then my circumstances have changed.


I’m currently claiming job seekers allowance of which I used to pay my parents £1OO p/m, but my mum has lost some hours at work and I’ve offered to increase my rent to £2OO p/m.

In the mean time I’ve received Income payments agreement from the OR stating that I should pay £5O p/m that I don’t have since my rent increase.


Should I?

Write a letter to the OR in explanation like I’ve done in this post but more formal? Ask for another income/expenditure sheet because my circumstances have changed?
Something else?

Please advise

serenity34_2

It's common that people's circumstances change for lots of reasons - phone the OR as soon as possible and explain this and they will usually ask you to redo your budget

debtinfo

Was the OR asking for £50pm when they knew you were on JSA initially or were you employed when it was filled out the first time as they should not be doing this

philnicandamy

debtinfo wrote: »

Was the OR asking for £50pm when they knew you were on JSA initially or were you employed when it was filled out the first time as they should not be doing this

I agree......any change in financial circumstances you MUST contact the OR within 21 days.....i'd speak to them Pronto!

fiveyearplan

I wouldn't say you offered to increase but that they have increased your rent to £200.

debt_doctor

Hi,

Is your only income JSA ? If so then you cannot have an IPA unless it is a voluntary contribution, or am I missing something

DD

BOBI_3

Thanks to eveyone that has replied so far.

Yes JSA is my only income and yes I was on JSA when I initially filled in the forms. So what should I do now then?

blind-as-a-bat_2

Refuse the IPA on grounds your only income is benefits, as already said you can volunteer to pay even so, but you can not be made to pay due to the social security act, as it explicitly forbids it.

I would be interested to know if your letter informing you of the IPA makes it clear it would be voluntary, if so, fair enough, but i would still refuse to agree, if it is not made clear however, a formal complaint should be made

BOBI_3

Thankyou for the input.

Theres no mention of it being voluntary. It states: 'I, BOBI, agree to pay £5O.OO each month for a period of 36 months to the OR, by way of conribution to my b/c.'

It also says: 'If you are not happy with the terms of the IPA, please notify the OR in writing in 14 days of the date of this letter of the reasons for your decision and/or to discuss any variation in the terms, or a change in your circumstances.

Now I'm wondering what I should put in my letter?

peachyprice

Just send a polite letter back referring to their letter of such and such a date, thanking them for their request, but as you understand it your only income comprises of state benefits you are under no obligation to contribute to an IPA. You will of course imform them of any change of circumstances in the future.

or something along those lines.

blind-as-a-bat_2

Dear Whoever
I confirm receipt of your correspondence dated xx-xx-xx regarding your decision regarding an IPA.

I am somewhat confused by this due to the fact my sole income is jobseekers allowance.

As you are aware under section 31.7.9 of the official receivers technical manual, it is clearly stated an IPA cannot be demanded where the bankrupt’s sole income is a benefit, as it is in my case.

This is further supported by section 187 of the Social Security Administration Act 1992:-

‘187 Certain benefit to be inalienable
(1) Subject to the provisions of this Act, every assignment of or charge on—
(a) benefit as defined in section 122 of the Contributions and Benefits Act;
(b) any income-related benefit; or
(c) child benefit,
and every agreement to assign or charge such benefit shall be void; and, on the bankruptcy of a beneficiary, such benefit shall not pass to any trustee or other person acting on behalf of his creditors.’

While I am aware it states, where a surplus is identified, you may request a voluntary contribution to my bankrupt estate, there is no mention of this IPA being voluntary, and therefore can only see it as both a breach of both your own guidelines and the above mentioned act.

As the benefit is deemed by the government to be the minimum required to support my basic living expenses, I am also at a loss how you came to the conclusion there is a surplus at all.

I therefore can only conclude this is a clerical error on your part, can you please confirm this is the case, and supply me with an explanation how such a basic error was allowed to occur.

Yours sincerely

I quicly knocked this up, so dont mark me on spelling or grammer:rolleyes::D
Something like this is what i would send, but you may wish to water it down a bit:p