Iva payments and joint overdraft

purpleparrotuk

Hi Folks

My husband made his first IVA payment 2 weeks ago now. How does the IVA company pay the creditors? Do they send payments every month or do they keep it to one side and pay one big sum at the end of the IVA?

The reason I ask is because we have a joint overdraft and this was included in the IVA. I know I am fully liable for it still because I am not in the IVA. But I also know that part of my husbands monthly payment is going towards this.

I can still access our joint account at present via online banking and I thought I might see the IVA payment going in there. I find it strange how the Bank have not closed/frozen our account.

I intend to pay some of the overdraft off every month and ideally would like to see the overdraft figure coming down. Will I be able to just a bank transfer?

Also will the bank still charge interest every month even though it is in the IVA?

Charco_2

The first year is awkward: the creditors agree that the IP can reclaim some of his fees, which could reasonably be the first few months of your contributions. There are both Nominee and Supervision fees to be claimed. Then the money starts to accrue in a pot... the IP wont make dispersements every month because there are costs involved in that but will make dispersements at intervals during the term as and when a reasonable sum amounts.

It will take a while before any payments are made unfortunately.