If you feel that your outgoings have increased significantly enough to require a reduction in your monthly payments, you will first have to agree this with Payplan. They will look very carefully at your suggestions regarding you cost of living increases.
If they believe that these are justified, they can not simply allow you to reduce your payments. Your IP will have to make a variation proposal to your creditors. Your payments will only be allowed to reduce if this proposal is agreed.
It is worth pointing out that IPs are not normally willing to propose a variation to your IVA unless there is a very good reason. As such, I will be interested to her Payplan's response.
They can probably agree to a 15% reduction with little bother - any higher and it will take a variation meeting of creditors to get your payments lowered.
Hi mole
We recently had an annual review and, like yours, we felt out disposable income had gone down although we were told the payments would remain the same. We asked for things to be re-reviewed as we felt that some things had been missed and a 15% reduction was agreed in our monthly payment. This did not require a variation meeting and was not added to the term of the IVA. We were advised that if we had to go to a variation meeting then that would result in an extension of the IVA by 12 months and that this was normal practice.
Hope this helps.
F&F approved May 13 - just awaiting Completion Certificate - moving to a new Debt Free life !!
