Forced IPA when on Income based jsa & bankruptcy

NoHopeLeft

Hi
I was declared bankrupt in may this year after fleeing domestic abuse etc.
I started a job in june for 6 h a week term time only as it fits in with my kids needs (aged 5...7...& 12) due to them still not coping with our past life/new one.
The offical receiver called today to say i have to pay them £24 a week (did originally say £40...i only earn £42 and i burst into tears. They lowered it after a lengthy conversation) They said once i signed it was for three years.
Can they do this as if i was on basic jsa they said id not be bothered by them, but because its income based jsa they can help themselves.
I dont earn enough to come off jsa. If my kids are ill and im not in work and not payed we will be in trouble if they are taking over half my salary.
Please help...any advice
Thanks x

tigerfeet2006

Ok sweetie the first thing to do is not panic.

Do you have the SoA that has been agreed by the OR? If not the first thing you need to do is say to the OR that you need a copy of the SoA and you won't sign anything until you have a copy.

If you know what's been agreed please pop it up here and someone will check it over for you to make sure you've thought of everything.

An IPA is an agreement and if you don't agree then you negotiate. But let's see what we are dealing with first.

NoHopeLeft

Ok thanks i will ring and ask and get a copy

fermi

Yes, you are not obliged to sign or agree to any IPA.

You can refuse telling the OR that you believe the IPA they are suggesting breaches their duty to allow for "reasonable domestic needs" and that you believe any court would agree that this is the case and would not permit any form of payment order, therefore you will not be signing or agreeing to any IPA on those terms.

HappyMJ

It shouldn't matter the benefits are supposed to just enough to cover the cost of living with nothing left over so no order should be made against them.

If a JSA claimant then earns a sum of money the benefits will be reduced pound for pound so still no need to attach those earnings as the claimant is no better off.

There must be a misunderstanding somewhere along the lines. 6 hours a week at MW and still claiming income based JSA it should not affect you.

NoHopeLeft

Went to CAB today, they can take my salary even though im on income based jsa.
Dole said if i quit its up to the investigator. I cant risk a bad decision due to three kids.
Ive no choice but to sign and live below benifit level for three years. They were going to take all my salary (£40 out of£42) but now are only taking half.
Thanks for everyones advice.

alastairq

Ive no choice but to sign and live below benifit level for three years. They were going to take all my salary (£40 out of£42) but now are only taking half.

If you have not had sight of the OR's version of your SOA, then how can you tell whether your 'reasonable living expenses' are correct?

DO NOT SIGN.

I get the impression you do not fully understand what Bankrutpcy is, or involves?

It is also unlikely that, a one-off visit to CAB will get you a meeting with one of their debt experts.

For the OR to seek an IPA means, the OR has identified a surplus in your income, after reasonable living expenses are deducted.

If you think you will be living below benefit levels, then you firstly need to see what figures the OR is working from.

Hence Fermi's and tigerfeet's advice above.

There is no rush to agree an IPA with the OR...if indeed, there is a surplus of income.

You need to take a bit of time out first....get the OR's figures, then start negotiating if you find they are incorrect.

But the first thing is, do not 'give in'...as procedures cannot be backtracked [easily].

The IPA is not like a debt repayment, or a Court Order, or a fine, or anything.

But, more importantly, now is the time to take control of things..rather than simply sitting there letting things happen.

This is the first step in making your new life.

So, Don't sign anything at all, until you have the facts before you...there may have been a serious mistake.

tigerfeet2006

Please listen to Alastair and don't sign anything yet. Get the OR's SoA and post it up and let us look at it for you.

Please don't panic. Who did you get BR advice from?

owlet

tigerfeet2006 wrote: »

Please listen to Alastair and don't sign anything yet. Get the OR's SoA and post it up and let us look at it for you.

Please don't panic. Who did you get BR advice from?

^^^^^ as above.

Just another voice to echo & agree with the advice posted already.
Do not sign, get your SOA then post it here.

debt_doctor

Hi,
This is sadly typical of 'the norm' in todays Insolvency Service.
I had such a fight on behalf of one of my clients about two years ago for exactly the same reason; Working a few hours and having a top up of income based JSA.
I believe your CAB has fallen victim to the fact that an IPA CAN be taken only from the earned income but seem to have forgotten the all important legal term ' Reasonable domestic needs'
You should not sign.
A good thing is that the Insolvency Service do not understand the benefits system and therefore can run rings round them on such phrases as "this is the minimum amount the law says you need to live on"
You are going to need to fight if you want to win. Pop up your SOA on here and we will make a start.
If you want me to produces all letters and responses to the Insolvency Service then I can do that for you by email. (I can't allow all my tactics to be shown on a public forum I'm afraid!)


DD

tigerfeet2006

I hope you are still reading this No Hope and take heart that you have people who who want to help you and are on your team. Debt Doctor is an amazing individual and if he is on your team then you will be fine.