Can an IPA be cancelled

NIC71

Hi, 
I was declared bankrupt 09/04/19. I’m due for automatic discharge on 09/04/20.
an IPA was originally set up and payments started in may 2019.
However due to a change in my income, my IPA was suspended in July 2019. 

My question is, could I ask to have the IPA cancelled? My circumstances won’t be changing for the better any times soon.
I’m a sole trader and if anything my income will be even less this year, so there will be no surplus funds to pay to an IPA. 

I also live alone with my son, so I’m the sole earner in the house. 

Thanks in advance for any advice.

bradders1983

"Cancelled" is the wrong word, but I believe if they assess you and you can only afford to pay less than £25, they dont ask you for anything.

mwarby

I thinks NIks concern/question is this, if I didn’t have an IPA in place I’d be free and clear in April, with a suspended IPA if things improve in next 3 years the IPA can be started, can I change things such that I’m free and clear in April ?

thevdm

As far as I'm aware an IPA cannot be cancelled, it just gets set to zero payment. Once the 3 years are up then it's over whether you've been paying it or not. Unfortunately I belive the IPA will be there until May 2022. I may be wrong on this though, I'm sure someone will be able to give a definative answer soon.

If your income is not going to be improving over the next 2 and a bit years, I wouldn't worry too much, just update them with income details as and when they request them and it'll be over soon enough.

bradders1983

mwarby said:

I thinks NIks concern/question is this, if I didn’t have an IPA in place I’d be free and clear in April, with a suspended IPA if things improve in next 3 years the IPA can be started, can I change things such that I’m free and clear in April ?

No. If his situation improves and he is re-assessed and he can afford to pay over £25pm he will be asked to make payments again up to and including Month 36 (which in this case is April 2022). It is never "cancelled".

NIC71

Thank you all