About to enter into IVA - Help!

Cat1

Hello! I am looking for some answers, hope you chaps can help

Background: My partner owes approx 26k of unsecured credit. He has been on a DMP with payplan since March 2008 and everything has been fine, all payments made on time and contact from creditors minimal. The DMP was taken out as a short term measure - I only found out about the debt a few days before we moved in together:eek: and it was basically left to me to sort out. The idea was to DMP it for a bit, then apply for IVA. Then our jobs looked a bit shaky and we had a new baby to contend with, Payplan told us to hang on for a bit as it would be unlikely that the insolvency practitioner would accept.

Anyhow, both our jobs are secure as they can be and we are about to start the IVA process again. I am not in any debt at all and have a clean credit record, however we are a family and I understand that my income is taken into account when the IVA is proposed, although they won't actually take any of it. The income and expediture account I have completed for payplan shows that I personally only have about 3 quid excess income a month anyhow. My partner has about 140 excess and it will only be his name on the IVA.

Question:
The main worry is that my partner has a small income from self employment - less than 2k p/a on a good year. This income didn't exist when we started the DMP and we haven't updated payplan as its not income that can be assumed. Some months it can be an extra 400 quid and then months with nothing. 09/10 was the first year it actually made a small profit. When I did our income and expenditure sheet for the IVA discussion I didn't include any self employed income as we cannot count on it - we have no bookings secured for the future and can't assume we will. Should I contact payplan again and let them know about this income (before the case is passed to court business development) OR should I consider taking the business into my name (I am fully capable of doing he work myself) and then if there is anything left over we can keep it?? HELP!!! xx

FoggyBrain_2

Hi. Like you we have a small, intermittent, self employment income. But, as it is unpredictable, we haven't included it in our income, but split it 50/50 at the end of each month that there is an income from it, and pay that into the IVA as a seperate payment. We have interlocking IVA's, so your second suggestion wouldn't work for us, but sounds feasible for you :0)

Cat1

Thank you FoggyBrain, and thanks for your advice on the bank account on the thread I hijacked. Really appreciate it. Payplan rattled through the IVA process quite quickly with me yesterday and although I think it's realistically the only option for him, I just like to know all the ins and outs, plus I always come up with questions the minute I put the phone down! :rotfl:

FoggyBrain_2

No problem Cat1. Yes, the information overload can be quite daunting in the beginning. But feel free to ask away -- the questions will keeping coming over the whole 5 years !! Lizzy, the Payplan representative does look in on this forum (and over on https://www.iva.co.uk ) and will give you what help she can. There is also a lot of info at https://www.iva.com

Payplan_company_representative

Hi Cat1

As the business is in your partners name he will need to disclose this the Payplan and the IP's. It is always best to be open and honest, especially with an IVA and then the case officer can tell you all you need to know.

Sorry I can't give you a definative answer, but with an IVA it is hard to do without know the in's and out's and I wouldn't want to tell you something that may be wrong.

Please let us know how you get on.

Lizzy