7 year IVA and they want more??!!

DT_Bristol

Hi
I have been in an IVA for 7 years.
After the original 5 I was asked to look into equity release.
Had no equity so it was extended by a year.
Then at the end of that year I was advised it had to be extended by another year.
Made the final payment November 2017, thought that was it. Now I've been told my final earnings were too high and I know owe another £1600.
My original IVA was for only £17k and I've been paying around £300 a month for the past 3 years.
Is this even right or legal? Can they really make me pay even more?
Was with cleardebt but now with Aperture.

fwor

What does the agreement you signed say on the matter? If that agreement doesn't say that they can do it, they probably don't have legal grounds to do it (and vice versa).

Purely on a mathematical basis it doesn't ~look~ like too bad a deal. A £17k debt over 7 years at - for example - 10% APR should be around £25k at the end of the 7 years. You say you've paid £10,800 in the last 3 years plus they want another £1,600. How much did you pay in total in the first 4 years?

sourcrates

Ask your IP for a full written explanation of why they intend to extend your IVA again.

They do, unfortunately have the discretion to do certain things without consultation, that`s the nature of the beast, but if your unhappy, certainly make a complaint and hold them up to scrutiny.

If you remain unhappy after there final response, you can file a complaint about your IP, that would be the next step.

PrettyKittyKat

As you mention your earnings too high I suspect that the money outstanding is your additional monies.. As part of your IVA you should have been paying in any additional monies regularly. However, you should not have any income reviews for the 12 months extra you paid in lieu of equity in your property. This is on the assumption that no variation took place.

Has your IP mentioned the outstanding additional monies before now? I am wondering why this wasn't discussed at month 60 when they discussed having to extend for 12 months for equity. Had you provided all your proof of incomes by month 60 as required?