Declaring a new job after bankruptcy

nickylabron

Hi there. My partner had to close her business a few years back and had to file for bankruptcy. This went through relatively quickly as the official receiver could clearly see that it was through no fault of her own and she didn't misuse any of the businesses money.
As part of the settlement, she did an income/expenditure report based on the job she got after the business closed, this allowed for £50 a month for 3 years.
She's just got a new job, much better paid. Per month, she'll be around £400 better off. The receivers have written to her saying they know she's finished in her old job, and can we send them the new job details and salary.
Will they take every penny extra she's earning in the new job? And if so, for how long, just until the original three years is up or longer?

As the new job is far away, and because her clapped out old car finally packed in recently, she had no option but to get a new one. As finance wasn't available due to the bankruptcy, her only option was to borrow £6k off her brother and pay him back as much as she can afford. If they are going to ask for more money, can this be used to our advantage?

Many thanks for anyone's advice or help in advance

fermi

I assume the car was bought after she was discharged?

They may want to up the IPA payments due to the increase in income, but conversely her budget has changed so she should also submit a new income and expenditure to reflect that.

If her expenses for her "reasonable domestic needs" have gone up, then they must take that into account and accordingly not take all the increased income.

They may try, but despite the impression they may give you are not bound to except whatever increase they may propose without question. An IPA can only be varied on agreement of both parties; the OR AND you. You can challenge and refuse if you think it unreasonable. The only way it can be imposed is if they apply to the court to vary payment, which if unfair they would be daft to do. Fight your corner if they propose an unfair level.

nickylabron

Thank you Fermi, that was really supportive and helpful

Yes the car was bought after discharge, only a few weeks ago because the old one completely went. She also needs it to get to the new job and pick her nephews up, hence why her brother lent her the money. She's agreed to pay him £300 a month to pay it back, this swallows a great proportion of her extra income per month but she had to do it, she needed a car for work and her nephews, she couldn't get credit anywhere else because of the bankruptcy and after the last car blew up on the M4 whilst she had her nephews inside her brother has insisted that she buy a safe care, so it wasn't that cheap.

Are all these valid reasons for the official receiver? Also, as luck wouldn't have it, the leak in the kitchen got worse and the roof was close to coming down, so she had to borrow money off her grandparents to fix it, it cost £1500. She has to pay this back monthly too, will they accept this as an expenditure? Apart from this the house needs help all over the place, front door broken etc etc, is it just everyday expenses the Official receiver will accept or do they understand that other things come up like this?

Thanks so much in advance, it's a massive help