Redudancy while in an IVA

donnylad40

I have been given notice of my redudancy of 12 week and an estimate figure payout of just over 5k.
Im to understand that i can keep upto 6months of my pay to live off, if i was to claim benefits during this time while looking for work do i keep my benefits and the 6 months equivalent pay?
Im new to all this so any info would be great.
tia

sourcrates

How long have you been in an IVA? 

You cannot continue it with no income, how much debt did you have originally?

Might it be prudent to let the IVA fail, and once the dust settles inform your creditors you are no longer working, and ask them to write your debts off?

fatbelly

There will be a clause in your agreement regarding redundancy. Normally you will be allowed to keep the eqivalent of 6 months pay from your redundancy payment.

If your income is benefits-only you would not be likely to have any surplus income to make payments and so you would suspend payments to the IVA.

As Sourcrates says, maybe now is a good time to reevaluate the whole thing

ManyWays

If your income is benefits-only you would not be likely to have any surplus income to make payments and so you would suspend payments to the IVA.
I think the idea of keeping 6 months money is so you can carry on paying the IVA while you look for a new job