IVA and DLA

Moonlight_Magic

Hi

I have been talking to payplan about a possible IVA and have been told that I may need to use my DLA as income.

Is this right?

I basically get my DLA to cover my disability needs. I also reduced the amount I allowed for travel to a ridiculously low amount on my budget sheet as I thought my DLA would be left in tact and I could use that to get to any health related appointments etc I may have. If they take my DLA as income and set the amount of repayments too high, I won't be able to afford to travel anywhere, which is difficult as I live in the middle of nowhere, with a very limited bus service (no service at all in the evening or on sunday). The nearest city is 12 miles away and the nearest small town (which is where my drs are situation) is 4 miles away but the bus service there is even more limited than the service to the city (two buses twice a week basically).

This means I need to catch a taxi.

Also, I suffer with depression, anxiety, agoraphobia, and severe social anxiety. This means that unless I have to go to an appointment at the drs or for therapy I rarely leave the house. However when I do I cannot always cope with crowded buses or going into the city alone. Again I may need a taxi, or if I can, will shop online rather than go out for it.

For that reason, because I am often housebound etc I use my disability for my travel needs and internet needs if I am not well enough to manage going outside.

I also use my disability to help for a specific diet and exercise programme as that is most effective for my depression. I find that if I do not eat a healthy diet (which is very hard to afford on the budget they allow you for food) my mood will become suicidal within a matter of weeks.

I also need other things to help me and use my DLA for those.

I don't want to end up sitting down and popping pills out of a packet again with a view to taking them all because I don't have enough money to cover my health needs and to get the things that actually help me.

Should they include my DLA as income?

Also, i have a support worker (as up until recently i was homeless and was rehoused with the help of a charity who work with the mentally ill and disabled), would getting them to write and explain my situation help?

Charco_2

Quite difficult to deal with. Interested in your money and their relationship with their funders, less interested in your particular situation. Good news is tho, they're not the only company out there.

You want to put forward an IVA proposal on your terms and so you should! Everything is negotiable so stick to your guns, if you don't feel the proposal is affordable, don't agree to it! If they won't budge to draw up a proposal that accurately reflects your situation then find an IP that will.

Creditors can sometimes be quite agreeable to situations outside the norm, as long as it makes sense and is presented properly. So although you have very particular requirements as long as you can justify them and still provide a reasonable return for your creditors, then you may have a viable proposal. Dont be put off if an IP is unable (or rather unwilling) to put in some effort for your case!

As for DLA, I believe it is common practice to list this in the Income & Expenditure just like any other Income - a good IP will also however take this into account in the Expenditure too thus cancelling one out with the other (more or less).

Moonlight_Magic

Ty for the reply.

I have since spoken to my support worker and CAB etc and have decided to file for bankruptcy. I feel this will be the best option for me as I have no assets (Up until recently I was registered as homeless and once I was found permanent housing via the council needed a community care grant and budget loan just to get basic household appliances ie fridge, cooker (which still doesn't work as I am trying to save up enough money to pay a gas man to come and fit it), washing machine (no near by laundrette as i live in the middle of nowhere lol) and a bed (which is due to arrive this week until which time I'm sleeping on blankets etc piled on the floor). I have some other bits of basic furniture that was given to me by a charity (ie a chair and a table) and which were second hand not new. I have no carpets and the only curtains I do have (in the frontroom and bedroom) are held up with drawing pins as I still can't afford to buy curtain rails. The rest of the rooms are curtain less.

The only other items I have are some personal effects I managed to carry around from one temporary accommodation to the other (ie I went from a partners place to a womens refuge to a temporary place provided for me by a charity who helps homeless people with mental health issues etc to where I am now) which basically consist of one 14 year old 14 inch portable tv (not a lcd or flat screen but the old type back from the technological stone age), one cheap notebook that still runs windows xp and which i need for my internet connection so i can do my shopping), some cheap dvds I got on sale about about 1.99 each, some cross stitching supplies (I cross stitch lol), clothes, some books and some more art stuff.

It will however take me a short while to try and save up the bankruptcy fee, as if I sold everything I own I still wouldnt make enough lol.

Given my lack of assets, my health issues (anxiety, depression, agoraphobia, social anxiety etc) and my low income I think bankruptcy would be a more realistic option as I have over 17 thousand in debt and can't see myself being able to pay it off.

Charco_2

Contact your local court - where the bankruptcy hearing will be held and ask about an ex160 form.

The staff are usually helpful and sympathetic, they can also be very helpful.

The form is a fee remission form which can waive a proportion of the fee you will have to pay, taking the cost from £510 down to £350... (figures are approximate)
The staff should be able to tell you if it would apply to you.

Good luck...

The bankruptcy forum on here is good if a little bit mad - me thinks they :heartsmil love Bankruptcy :lovethoug a little too much!

But they are supportive and know what they're talking about!

PS - worth trying "Freecycle" to get bits and bobs to make your house a home. It's free to register, it's in your area, and people give away things they no-longer require but which are more than adequate for purpose!

debtinfo

Charco wrote: »

Contact your local court - where the bankruptcy hearing will be held and ask about an ex160 form.

The staff are usually helpful and sympathetic, they can also be very helpful.

The form is a fee remission form which can waive a proportion of the fee you will have to pay, taking the cost from £510 down to £350... (figures are approximate)
The staff should be able to tell you if it would apply to you.

Good luck...

The bankruptcy forum on here is good if a little bit mad - me thinks they :heartsmil love Bankruptcy :lovethoug a little too much!

But they are supportive and know what they're talking about!

PS - worth trying "Freecycle" to get bits and bobs to make your house a home. It's free to register, it's in your area, and people give away things they no-longer require but which are more than adequate for purpose!

The Bankruptcy deposit is now £450 and the court fee which cn be waived is £150

wicket_2

We're 6 months into an IVA with Payplan.
After it was started we were awarded DLA for my 6yr old. Payplan told us it will have to be included as an income, but that we need to put the same amount down as an expense (ie to pay for his needs and care). So therefore we won't have to pay that sum towards the IVA payments.