how often do they reveiw your circumstances

[dld]

If you enter into an iva agreement and a monthly payment is agreed, how often do they reveiw your circumstances and will they take more money if you have been granted a pay increase?

[Skippy]

Circumstances are usually reviewed annually. Yes, any pay increase will be paid into your IVA, although obviously you must allow for any increases in expenditure.

Four down, fifty six to go until freedom!

[neverending]

Hi
You will have an annual review where you will fill out a fresh income and expenditure form.Your income will be checked quarterly or at this review.Some IVAs allow for you to keep a pay rise upto 3% and all will allow for increased living costs.Any annual payrise will normally be counteracted by these increased living costs so your payment will remain the same.A large pay rise, due to say promotion ,will be taken by your IP less any increased costs.

[MelanieGiles]

As a practising IP, I see increases at annual review cases in less than 3% of my cases. This is due to salary increases generally being absorbed by increased living costs, which have been exceptionally high over the last year in terms of fuel increases.

Make sure that you keep detailed records of your expenditure during the year, as your IP may wish to query some requests for increased expenditure if they look exceptionally high.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk