SOA Allowance

Drum_Master

Hi Guys,

Thank you for all your help up until now, I think bankruptcy is certainly the way forward for me and I will be pursuing in the next few weeks.

I have a couple final questions after following some links that have been provided for 'Guides' to expenses. On the debtwizard breakdown it states sports/hobbies/social is alowed between £11-17 (Including alcohol) and smoking is considered upto £60 a month (Although for a couple). I was under the impression that generally these items were not accepted.

Could anybody please shed some light on this? maybe from previous experience would be appreciated. I am unsure if this may be allowance for DMP or IVA apose to bankruptcy, although it says for bankruptcy.

Thank you everybody for all the help you have given me over the past few weeks

Flyright

An allowance for smoking is NOT provided in bankruptcy as it is not considered to be essential expenditure.

Drum_Master

Thank you Flyright, that is what I though.

UpToMyNeckInIt

...Yes, to a point. But (in IVA's anyway), I have come across customers who have successfully negotiated a 'smoking' allowance, if it can be justified on (get this): medical grounds (I'm not joking!!!).

As far as IVA’s are concerned, regarding what is deemed 'reasonable' expenditure is outlined in the Stepchange Budget Guidelines, which can be downloaded here:

https://docs.google.com/file/d/0B7La...N1E/edit?pli=1

For IPA’s, these links give you useful Citizens Advice info and calcuator below on IPAs & IPOs that includes a link to the I/S B/R bankruptcy expenditure allowances.

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

and:

http://www.insolvencydirect.bis.gov..../Annex D.htm

DrumMaster: Hope you find this lot useful.

Drum_Master

Thank you,

You are a star!

philnicandevan

Have you spoken to anyone else yet as I suggested previously? CAB Stepchange etc

HappyMJ

The smoking and alcohol spends get rolled in with housekeeping which is quite a reasonable amount.

adpod

In reference to Sports/hobbies;

I was allowed to keep my gym membership as it was only £2 per month (just a small work gym) otherwise for a normal gym membership etc you would need to show that your work requires you to keep fit.

Other hobbies are non essential and will not be allowed on the SOA but its only for 1 year.

Drum_Master

Hi Adpod,

Thank you again for the help.

Sorry one slight confusion, doesn't the SOA last for 3 years when in an IPA?

luvchocolate

Hi yes an ipa lasts for three years so any changes to your incomings/outgoings during this time you would need to inform your or. If no ipa then its just the one year until you are discharged.
the insolvency service website is very easy to read and goes through everything, also stepchange were very good for me.

Drum_Master

Hi Luvchocolate,

Thank you for the advice,

I have spoken to step change as well as many forums and I thought that was certainly the situation. I have another meeting call a scheduled with stepchange for saturday to go through my final SOA and begin my applicatiopn for bankruptcy.

Thank you to everybody that has aided me.