The bankrupt Race

Banquo21

This is the email I got from my IVA provider. I presume this is normal?
The Insolvency Practitioner has agreed that your IVA can be failed and the Failure process will now begin. As discussed I cannot give a timescale for this.

"He has asked me to advise you that Creditors are likely to seek an income payments order to take money directly from your salary. This is likely to be higher than your IVA payments which are lower because of the allowances for your partners Creditor commitments. This may reduce once your budget changes when the baby is born but you will need to take your own advice on this matter.

I wish you both the very best for the future

Regards"

tigerfeet2006

Well as we have already shown you, that is a load of hooey. But yes he is correct that when your baby is born then your SoA will change as you will have more expenses so will have to be altered downwards and when that happens just pop up your SoA and someone will check it for you.

The beauty of an IPA is it is an agreement and can be changed up, down or suspended as life changes Also if you have a big one off expense then you can ask to miss a couple of payments and add them on to the end of the term.

Banquo21

To be honest I thought it was scare tactics. I have already shown that I have £80 or thereabouts spare each month.

fermi

Scaremongering and lies. An IPA would almost certainly be significantly lower than any IVA payments would ever be. And may never happen at all.

Banquo21

U

Banquo21 wrote: »

This is the email I got from my IVA provider. I presume this is normal?
The Insolvency Practitioner has agreed that your IVA can be failed and the Failure process will now begin. As discussed I cannot give a timescale for this.

"He has asked me to advise you that Creditors are likely to seek an income payments order to take money directly from your salary. This is likely to be higher than your IVA payments which are lower because of the allowances for your partners Creditor commitments. This may reduce once your budget changes when the baby is born but you will need to take your own advice on this matter.

I wish you both the very best for the future

Regards"

This has now been proven today to be an outright lie. And a nice way to say goodbye to me. Well good riddance Payplan. My IPA is NT tax code only around £90 pm and not the £328 you fleeced off me for 5 months before I took other independent advice and decided to go bankrupt. My OR was absolutely lovely and said after the baby is born in September get in touch and submit new figures for my I & E.

I would urge anyone not to rush into an IVA as they are not a fix all and to take independent advice from multiple sources.

Rant over!

betterdaysahead

If your only IPA is an NT one, it will also only run until the end of the tax year, not the 3 years that a normal IPA runs for, so even better news for you.

Edit: That's provided you didn't mean that it's an NT IPA plus another one at £90 on top of that. If there is another one, that one will run for the full 3 years, but as mentioned can be tailored as your circumstances change.

Banquo21

No it is just based on my Tax I would normally pay. It would have been £30 a month out of surplus income but as my circumstances are changing imminently the OR decided to hold off enforcing it till after the birth. Then they said to send in a new SOA with figures that better represent my outgoings now that there would be an extra person in the household.

To be honest it is better than I could have hoped for. A lot better than my IVA with which my provider said my figures could change when we have our baby but not by much.

Thanks to all the people here. Michael Peoples and others at IVA.co.uk and Stepchange

debt_doctor

......and why wouldn't allowances be made for your partners creditors in an IPA?
DD