Question about IPAs?!

Suzanne83

Morning

I just have a question about IPAs please... I understand that the IPA is set up not long after bankruptcy order is made and I realise this lasts for 3 years. Can the amount change constantly through the 3 years or is it just through the first year and then set amount after that? I work different shifts each week and get more money for doing nights etc!


Any advice would be appreciated! X

alastairq

Hi..throughout the 3 year period, any changes in circumstances should be notified to the OR, so that the IPA can be adjusted accordingly.

Remember, the IPA is an agreement between you and the OR.....so if you think the amount is unreasonable, you need to challenge it.

The OR may well take an average of your income, rather than vary it to suit your wage slips?

You could argue, however, that when working 'nights', you are not just being paid for work done, but also for the gross inconvenience due to the time?

Suzanne83

ok thanks Alistair. Did an updated income/outgoings on stepchange today trying to be realistic and cut things back as much as possible, and it came out with £1 spare! We are applying for housing benefit as well so that brings it a bit more into positive funds. Do you have any experience with benefits at all, or any idea of how long roughly it takes to sort out once posted?

Depth_Charge

Suzanne83 wrote: »

ok thanks Alistair. Did an updated income/outgoings on stepchange today trying to be realistic and cut things back as much as possible, and it came out with £1 spare! We are applying for housing benefit as well so that brings it a bit more into positive funds. Do you have any experience with benefits at all, or any idea of how long roughly it takes to sort out once posted?

Hi

Just going on the limited info you have provided so far

As far as bankruptcy is concerned you are allowed what is reasonable.

If you are eligible for housing benefit then it is difficult to see how it can be argued that you have any money spare for an IPA / IPO.

It may be useful to check out the Citizens Advice Bankruptcy Online IPA /IPO Resource below -

http://mymoney.nedcab.org.uk/moneyadvice/ipaipo.asp

Dont leave yourself short, bankruptcy is there to give you a genuine fresh start.

Like I say Im just going on the info so far.

It might help if you could put up your SOA

Best Wishes

sort_me_own_yard_out

Please dont take that getting housing benefit will exclude you from an IPA. I am in "talks" with the insolvancy service at the moment I an a single parent of two who works 30hrs my household income is made up of my wage, income based benefits and a child maintaince Payment from my ex husband towards the up keep of our children. At the moment they are asking for an amount of £84 per month . Staggered!

Depth_Charge

sort_me_own_yard_out wrote: »

Please dont take that getting housing benefit will exclude you from an IPA. I am in "talks" with the insolvancy service at the moment I an a single parent of two who works 30hrs my household income is made up of my wage, income based benefits and a child maintaince Payment from my ex husband towards the up keep of our children. At the moment they are asking for an amount of £84 per month . Staggered!

Hi

Good and interesting point on the issue of Child Maintenance, thank you

DC

Suzanne83

Hiya thanks for all of your replies. I'm applying for housing benefit purely for the fact that my income/outgoings are so minimal I think by having the benefit it will give us a bit more room to add on maybe an amount for saving for car spares/service etc?!?

Depth_Charge

Suzanne83 wrote: »

Hiya thanks for all of your replies. I'm applying for housing benefit purely for the fact that my income/outgoings are so minimal I think by having the benefit it will give us a bit more room to add on maybe an amount for saving for car spares/service etc?!?

Hi

Has someone done a Housing Benefit eligibity check for you to see if and what your entitlement might be?

Your local CAB, Welfare Rights or another agency maybe, should be able to do you a benefit check.

There are a couple of online benefit entitlement tools around such as the turn2us site below that might be worth a try.

http://www.turn2us.org.uk/benefits_search.aspx

If you qualify for housing benefit under the circumstances that you appear to be confirming so far then I would say it would be difficult to argue the case for an IPA or IPO.

Could you put up your Statement of Affairs as that may help clarify things much further.

Limited info still really so to be sure it is best to get in depth advice based on your full circumstances to be sure.

PS - The O/R or their examiners are not the law and can be challenged if you feel that something is unreasonable.

Best Wishes

Suzanne83

Hiya here is my SOA. I did it on StepChange and here's the ones that applied to us that we can hopefully realistically afford.

When we put in what we would realistically spend it actually came out negative (we would still lose money every month when bankrupt) We are a family of 3 and our normal food shop costs us around £85 per week but to avoid the negative shortfall each month we have had to reduce this to £71 per week. We cant even put in for gifts etc. If we get housing benefit then obviously we can up the numbers a little so we don't struggle each month.

Income
Wage 1600 (Average over 12 months)
Child benefit 89

Outgoings
Rent 750
Water 53
Council tax 129
Gas 76
Electricity 76
Contents Insurance 10
Telephones/Mobiles/Internet 75
TV Licence 13
Car spares/servicing 10
Road tax 17
Car Insurance 33
Fuel 65
Food 310
Prescriptions 8
Hair 3
Sundries/Emergency fund 5
Union/professional fees 25
Clothing 31

IN = £1689
OUT = £1689

One question I do have is: If we are in the red on our SOA (before housing benefit) what will happen? and also,Will we avoid a IPA?

I am worried our figures look like we have planned it that way but we really have cut back to the bare bones and it is merely a fluke our income and outgoings are the same.

sort_me_own_yard_out

Suzanne83 wrote: »

Hiya here is my SOA. I did it on StepChange and here's the ones that applied to us that we can hopefully realistically afford.

When we put in what we would realistically spend it actually came out negative (we would still lose money every month when bankrupt) We are a family of 3 and our normal food shop costs us around £85 per week but to avoid the negative shortfall each month we have had to reduce this to £71 per week. We cant even put in for gifts etc. If we get housing benefit then obviously we can up the numbers a little so we don't struggle each month.

Income
Wage 1600 (Average over 12 months)
Child benefit 89

Outgoings
Rent 750
Water 53
Council tax 129
Gas 76
Electricity 76
Contents Insurance 10
Telephones/Mobiles/Internet 75
TV Licence 13
Car spares/servicing 10
Road tax 17
Car Insurance 33
Fuel 65
Food 310
Prescriptions 8
Hair 3
Sundries/Emergency fund 5
Union/professional fees 25
Clothing 31

IN = £1689
OUT = £1689

One question I do have is: If we are in the red on our SOA (before housing benefit) what will happen? and also,Will we avoid a IPA?

I am worried our figures look like we have planned it that way but we really have cut back to the bare bones and it is merely a fluke our income and outgoings are the same.

Are you not getting Any sort of tax credits?

Suzanne83

sort_me_own_yard_out wrote: »

Are you not getting Any sort of tax credits?

No. my husband lost his job recently but because he earned a good wage in the last tax year, we don't qualify for this year! The only benefit that we will hopefully get is housing benefit.