IVA company not responding to letters..advice?

velmakelly

Hello everyone,

Having problems with my partners IVA company.

They have written to my partner to tell him they have increased the term of his IVA and not explained why.

The company keep sending correspondence to old addresses, even though they are aware of where our current address is. We know they are aware as they have sent on occasion letters to our current address.

Naturally we have sent 2 letters via recorded delivery before and after christmas and still not received a response.

We have many discrepancies to discuss with them, but this is impossible if they do not communicate!

Your advice would be appreciated.

UpToMyNeckInIt

Very difficult to advise without specifics.

Your partner's IVA firm sound pretty poor though (which company?). Is it the same company he signed up with, or has his IVA been transferred to another company?

I know one big firm in particular, recently took over a lot of IVAs from other firms. They then realised in some cases that creditors had not received their minimum dividend, (presumably the outgoing IVA firm pocketed too much and/or the customer had missed a few payments), and are apparently requiring some IVA customers to extend their term to meet minimum dividend requirements accordingly.

Is that the case here perhaps?

velmakelly

The company is Mitchell Farrer.

Everytime we have contacted them, we have to speak to different caseworkers. There is no set caseworker dealing with my partner's IVA.

My partner's ex wife has settled her half of the IVA in full, and therefore my partner is now responsible for the remainder.

On that basis, an arrangement was made via email correspondence for my partner to reduce his monthly payments, and he was advised that he could do this through his bank as soon as possible.

We received confirmation of this by post, but that they would be extending the term of the IVA for another 12 months.

My partner phone them and asked why,and was told over the phone that he reduced his monthly payment before the creditors meeting took place. My partner told them that he was advised over via email that he could reduce the payment as soon as possible.

I took it over and decided that we need confirmation of that conversation in writing, hence the 2 letters sent by recorded delivery...and still no reply...incompentence? or guilt? or both?

cheesedoffwithdebt

bump- but there are regulatory authorities governing insolvency practitioners- am sure someone will come along to clarify where you can go for help.It must be very frustrating for you but well done for holding out and asking for an explanation this is hardly your fault.

Depth_Charge

UpToMyNeckInIt wrote: »

Very difficult to advise without specifics.

Your partner's IVA firm sound pretty poor though (which company?). Is it the same company he signed up with, or has his IVA been transferred to another company?

I know one big firm in particular, recently took over a lot of IVAs from other firms. They then realised in some cases that creditors had not received their minimum dividend, (presumably the outgoing IVA firm pocketed too much and/or the customer had missed a few payments), and are apparently requiring some IVA customers to extend their term to meet minimum dividend requirements accordingly.

Is that the case here perhaps?

Hi

Just wondering if you have heard of the IVA company / firm that the O/P has mentioned?

UpToMyNeckInIt

Heard of them - Mitchell Farrar are my IVA firm!!! (They are not the firm I was thinking of in my earlier post).

Personally, I have found them very good and, aside from being on my second case worker in the 6 Months that I've been in an IVA, I've not experienced any of the issues that the OP has. But I do have an allocated case worker.

However, the OP's post seems to relate to the dividing of a previously 'interlocking' (joint) IVA. I am no expert in this, and it is not a situation relevant to me. Suffice to say, I am aware that 'splitting' joint IVAs causes grief as it is legally complicated.

Best advise is to forget case workers. Address letters directly to the IP: Timothy James Pope. You have the right to refer this matter to the IP if the case workers are not able to assist (sounds like this type of complexity is a little above their pay grade).

If you do not get a timely reply, consider making a formal complaint.

BUT, do check your IVA wording very carefully, MF's IP is a lawyer by background and is unlikely therefore to miss a trick.

And god only knows what Ts & Cs may apply if the IVA was originally pre-2010 protocol.

Good Luck.

Depth_Charge

UpToMyNeckInIt wrote: »

Heard of them - Mitchell Farrar are my IVA firm!!! (They are not the firm I was thinking of in my earlier post).

Personally, I have found them very good and, aside from being on my second case worker in the 6 Months that I've been in an IVA, I've not experienced any of the issues that the OP has. But I do have an allocated case worker.

However, the OP's post seems to relate to the dividing of a previously 'interlocking' (joint) IVA. I am no expert in this, and it is not a situation relevant to me. Suffice to say, I am aware that 'splitting' joint IVAs causes grief as it is legally complicated.

Best advise is to forget case workers. Address letters directly to the IP: Timothy James Pope. You have the right to refer this matter to the IP if the case workers are not able to assist (sounds like this type of complexity is a little above their pay grade).

If you do not get a timely reply, consider making a formal complaint.

BUT, do check your IVA wording very carefully, MF's IP is a lawyer by background and is unlikely therefore to miss a trick.

And god only knows what Ts & Cs may apply if the IVA was originally pre-2010 protocol.

Good Luck.

Hi

:rotfl:

UpToMyNeckInIt

velmakelly wrote: »

The company is Mitchell Farrer.

Everytime we have contacted them, we have to speak to different caseworkers. There is no set caseworker dealing with my partner's IVA.

My partner's ex wife has settled her half of the IVA in full, and therefore my partner is now responsible for the remainder.

On that basis, an arrangement was made via email correspondence for my partner to reduce his monthly payments, and he was advised that he could do this through his bank as soon as possible.

We received confirmation of this by post, but that they would be extending the term of the IVA for another 12 months.

My partner phone them and asked why,and was told over the phone that he reduced his monthly payment before the creditors meeting took place. My partner told them that he was advised over via email that he could reduce the payment as soon as possible.

I took it over and decided that we need confirmation of that conversation in writing, hence the 2 letters sent by recorded delivery...and still no reply...incompentence? or guilt? or both?

The following is a quote from another IP on the subject of splitting interlocking IVAs:

'In essence, if the IVA's are split you will be liable for your own personal debts and any joint debts and your partner would be liable for their own personal debts and any joint debts. Each debtor is jointly and severally liable for joint debts and therefore the full amount of each joint debt will be listed as a debt in each split arrangement.

Once split, the new arrangements would run independently of each other'.

Thus, it appears that the splitting of an interlocking IVA, means that 2 new individual ones are proposed, factoring in what has already been paid over.

I believe that the IP has the right to vary IVA terms in these circumstances, not least to meet minimum creditor dividend. So if your partner's affordable amount is quite low, the term may be extended to compensate.

Sounds like your partners ex has settled her IVA by way of full & final settlement.

Sorry if that's not the answer you were looking for.

velmakelly

Yes she has settled in full. The two letters sent have been addressed to Timothy James Pope. And still no reply.

Any ideas as to what my next move should be?
My partner wants a meeting with them discuss issues and sort the mess out, because clearly the caseworkers find this way above their station. This is evident from their total incompetance over the phone and via email. We can't even get a written reply from the IP!

Any ideas guys?

UpToMyNeckInIt

Basically, you have to exhaust internal complaints procedures first, then put your complaint to the IPs regulatory body (the Law Society in this instance I believe).

Useful link here to the CAB, about how to complain:

http://www.adviceguide.org.uk/england/debt_e/debt_help_with_debt_e/individual_voluntary_arrangements_ivas.htm

Also then provides links to the Insolvency Service.

Hope this helps, and please let me know how you get on. I'm happy with MF at the moment, but then again, I have had no reason to complain.

I'm sure they will get back to you eventually.

Good luck.