New IVA existing Attachment of earnings order

fluffy70

Hi .... Please can someone advise me? My husband and I are just starting an IVA to clear off 47k of unsecured debts including a 38k shortfall from the sale of our repossessed property 2years ago. Im the only wage earner in the house as my husband cares for our 4yr old and we pay £150 a month on our IVA. Does anyone know if I can have an attachment of earnings order reduced while on the IVA or even if I can have it added to the IVA? £150 is taken at source from my salary for a
Historic overpayment of housing benefit so that makes quite a difference as we're basically a family of 3 on £1100 a month take homeland £150 a month child tax credit. No housing benefit or council tax benefit.
Thanks for your help in advance

Depth_Charge

fluffy70 wrote: »

Hi .... Please can someone advise me? My husband and I are just starting an IVA to clear off 47k of unsecured debts including a 38k shortfall from the sale of our repossessed property 2years ago. Im the only wage earner in the house as my husband cares for our 4yr old and we pay £150 a month on our IVA. Does anyone know if I can have an attachment of earnings order reduced while on the IVA or even if I can have it added to the IVA? £150 is taken at source from my salary for a
Historic overpayment of housing benefit so that makes quite a difference as we're basically a family of 3 on £1100 a month take homeland £150 a month child tax credit. No housing benefit or council tax benefit.
Thanks for your help in advance

Hi

First, did you declare this debt to your IVA company and if so what did they advise? (is the £150 per month included in your IVA expenditure allowance figures?)

Second, if you did not declare the debt then why not?

Third, were you advised on all your options (including bankruptcy) by the IVA company?

Fourth, could you put up your full Statement of Affairs (SOA)?

Fifth, could you give us full details of the housing benefit over payment and the legal action taken to recover the debt?

fluffy70

umm - ok

1) yes of course I disclosed it to my IP and at present they are collecting all paperwork for debts etc from us tomorrow but they didnt advise whether it could be reduced or renegotiated which is why I threw the question out on here
2) ...
3) Yes we were advised on all options and they suggested that IVA was the best way rather than bankruptcy
4) I don't think that it's relevant for me to post that up here as I'm not asking other posters for advice on how to reduce my debts but rather a specific question on what can be included in an IVA but I will say that I'm keeping a family of 3 on my salary of 20k a year and our tax credits have just dropped as our son has left nursery but then of course so have our nursery fees so thats quid pro quo really
5) Obviously a CCJ was registered and an AOE applied to my salary (the local authority who overpaid me are also my employer) and it resulted from their miscalculations on what we should have received when my partner was self employed and they had all paperwork on a regular basis - unfortunately this resulted in a large £3500 overpayment that they uncovered and admitted was their fault but I still had to pay it back as I had received the money if you see what I mean. As we couldn't afford their suggested repayment plan of £50 a month it went to court and an AOE applied for immediately - I appealed against the 12% (which is £150 a month) with an incoming and outgoing expenditure breakdown but it was rejected without comment and the AOE applied. I now have had the advice to have the AOE suspended using an N244 form from the court.

Depth_Charge

fluffy70 wrote: »

umm - ok

1) yes of course I disclosed it to my IP and at present they are collecting all paperwork for debts etc from us tomorrow but they didnt advise whether it could be reduced or renegotiated which is why I threw the question out on here
2) ...
3) Yes we were advised on all options and they suggested that IVA was the best way rather than bankruptcy
4) I don't think that it's relevant for me to post that up here as I'm not asking other posters for advice on how to reduce my debts but rather a specific question on what can be included in an IVA but I will say that I'm keeping a family of 3 on my salary of 20k a year and our tax credits have just dropped as our son has left nursery but then of course so have our nursery fees so thats quid pro quo really
5) Obviously a CCJ was registered and an AOE applied to my salary (the local authority who overpaid me are also my employer) and it resulted from their miscalculations on what we should have received when my partner was self employed and they had all paperwork on a regular basis - unfortunately this resulted in a large £3500 overpayment that they uncovered and admitted was their fault but I still had to pay it back as I had received the money if you see what I mean. As we couldn't afford their suggested repayment plan of £50 a month it went to court and an AOE applied for immediately - I appealed against the 12% (which is £150 a month) with an incoming and outgoing expenditure breakdown but it was rejected without comment and the AOE applied. I now have had the advice to have the AOE suspended using an N244 form from the court.

Hi

Thanks for putting up the info.

Yes, I did put up quite a few searching type questions, but thats my style to be honest, information is the key, its the way I work thats all.

Also from reading your first post it did / does suggest that you were / are already in the IVA as you have put that you are paying £150 per month on your IVA thus some of the questions.

Your IP should include all unsecured debts in the IVA which would include the benefit over payment and if the IVA proposal is accepted / voted for by your creditors it should overide an Attachment to Earnings Order as does bankruptcy, thats the way I understand it

Interesting that you say that the benefit over payment is associated with your employer so to speak as this will mean they will be aware that you will be looking at entering an IVA as they will be included in the procedure and vote etc - you probably already realise this but just in case I have mentioned it anyway.

If you have had full advice on all your options then to be honest I am a little surprised that the benefit over payment / attachment to earnings issue was not mentioned by the IP / IVA Company.

Reading the rest of your post then I would definitely suggest that you clarify the benefit over payment and any other issues you have with the IP / IVA Company when they collect all the debt paperwork from you tommorrow.

As always with me, it is, that you make sure you fully understand all the options and debt solutions before making a final decision and signing up to anything.

Genuine best wishes