IPA and bank statements check

Singlemumm

Hi all,


just quick one !
If bankrupt has calculation for expenses , and let’s say, it has been allowed to keep £1000 to pay for everything, and IPA set up for rest £200, official receiver can /have a right to check bank statements and to say-you have said you spending too much on food, for example?
my point is if there are no income changes/bills decreased , can they actually tell what exactly you have to spend allowed money for?

Singlemumm

*to tell where you spending too much I mean

additional,
if in some months holiday payments has been allowed due to lower income and wage slips has been provided and confirmed to have not pay , can they add this months to be paid after 36 months when IPA will be completed

mwarby

They will have right to look at bank statements. They are probably more worried about undeclared income than how much you spend in Tesco's, although if they spot a deliberate falsehood they may become interested (say you claimed £200 a month nursery fees, which aren't there, but £200 on bookies is)

mwarby

As far as I know the 36 months is a fixed term, you earning less some months doesn't give the right to extend it. This is assuming they correct the right amount for good months too

Singlemumm

after she checked my statement s she said does not matter now if I have been allowed “payment holiday”, she will ask my usual OR to send me letter how many months more after 36 months I have to pay.( she has mentioned Four)
She made comments about Spar shop if I really buying food there .
But yes,my bad and my fault,last month I have spend some money on National lottery ( never had account before)I have explained honestly.
Then she has asked statements for 3 months earlier, I have sent it immediately,there is nothing to worry about.

Singlemumm

I never had any undeclared income or so, income were wage/tax credits (not anymore)/child benefit.
just does make no sense now how my stupid lottery can extend 36 on IPA, I have always been provided wage slips when were some days off or sick, nothing to hide.
because of my stupid head she will extend this Ipa period, cannot find other info that could confirm she is right

mwarby

I'm a bit confused Did you ask for a payment holiday on IPA, if so why ?

I guess the OR maybe concerned that you have a gambling problem, I guess if you were to say you did the procedures would be a little different

Modest lottery spending in its own right shouldn't trigger an extension. I'd think it'd only trigger an extension if it caused your expenses to be higher than agreed or if it revealed a sizeable error in budget. If we're talking 10-20 a month I don't see it as an issue, if it's that a week that's arguably money which should be part of IPA

Singlemumm

I did not asked payment holiday,just have sent evidences or lower income /extra expenses.I had it on August as I had one week unpaid and also I had expenses for my daughters private medical treatment that have been done abroad ,my sister covered it ( I said I will pay back ) I have provided all documents and OR said I don’t have to pay September also, same in October.
I have never decided by myself to not pay IPA, its always has been confirmed.
Another payment holiday I have had last December I think, off sick.
as usual I was sending email with wageslip .
whatever happened is always on my shoulders only,just not quiet understand on what basis she will extend my IPA.
I’m giving up,feel even worse than when I was filling bankruptcy application.
Just got with partner together,should be be new start but other problems did affected a lot .
I did not spend money on some usual things but played some lottery last month and was enough to get myself to this mess

Singlemumm

just want to make sure-if have been allowed £50 (just example )on clothing,and I’m spending these on tobacco, that’s not only my personal problem but also OR?
I really missed the point that after discharge still under OR eye.
i’m taking responsibility but the way she talked to me today was absolutely incredible, how sarcastic she was saying “you buying food at spar”?there wasn’t food,there was gas/electricity top up ..

Singlemumm

I feel free to talk there as had so much help and no judgment at all, so probably have expected no judgment from this lady also.
anyway, what is best way now to do?
To agree extend payments?
how to sort current payments as I’m still not agree on £174 when just stopped tax credit £218.
and can she really do something else( not sure what she meant) if I have lower wage next month ?she said there is no way to miss payment.
I’m scare to clarify with her even on email.

mwarby

It doesn't sound like to me there are grounds for extending duration of IPA,it does sound to me that it maybe worth noting the IPA is an agreement, you could refuse the agreement and get OR to take you to court for an IPO, the court may look more or less favourably. Might be time to talk to CAB or similar for some advice and advocacy

With the change in tax credits it sounds like the IPA needs to be revisited anyway

You I come and expenditure should always be an honest reflection on you income and expenditure. I wouldn't mention such hypotheticals (£50 on tabacco) to the OR, they do have rules on what is and isn't allowed and may not be able to let £50 in tabacco slide

I wouldn't be scared of OR you both need to understand what's going on