It seems to me that there could have been a very simple solution to this issue.
The IP could have granted retrospective permission and therefore ratified the borrowings. Then paying back a family member becomes no different to covering ongoing payments to a HP or commercial loan agreement.
Secondly, the poster should have sought permission from the IP prior to the transaction occuring, rather than informing them of it afterwards.
Thirdly, this could have perhaps been better explained within the creditors meeting report - and perhaps creditor sanction sought for the purchase of the vehicle and subsequent loan.
A new IVA is a definate possibility, and I would see little difficulty in getting this accepted to be frank. A shame it has come to this however.
bigpete wrote:
lil.me: "£5000 for a second hand car while in an iva could be seen as slightly on the extreme side. and they will certainly have looked dimly on the fact that you are and can afford to pay a family member 100% of an outstanding loan whilst creditors are only receiving a percentage of what they are owed. even though you are paying £70 per month into your iva by what you have said you could afford to pay £260 extra. in my first post i said your ip was being somewhat harsh,given that the sum is £5000 i think id now be a little more on the side of the ip."
Poor bloke has had his IVA terminated. You are all heart lil.me..
Especially with you giving this dodgy advice: "if you have inherited some money and in your 4th year of an iva,you dont need to refuse the inheritance,just dont accept it or for want of a better term act ignorant of it."
sorry,just laying down the facts as i see them,its all about what the ip knows not what they dont know.
What happened to honesty and truth and trust. Surely if someone were paying an extra £190 per month to family that wasn't originally accounted for, then that would be picked up at annual review? Or maybe that's how it was picked up along with the additional £70 payment to the IVA.
7 year IVA completed in December 2016 - there is light at the end of that tunnel
The IP should always be the first port of call with any queries.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
our ip is useless.... we also got 2 second hand cars .... and it has been a year of cars going very wrong this year . my last bill £800 in october ( did send ip reciepts ) we didnt have to pay octs standing order but subsequent payments increased by £50 til its paid back . we have never been allowed a payment break, or it being added to end of iva. so contrary to what anpther poster has put our iva has been as flexible a brick wall !!! ( currently paying $589 being increased to £669 this month)
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Unfortunately, that is the way things go. Your first year or so will always go on IP's fees. After that your creditors start to see a return.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
gdb88 i am so sad to here about your iva failing because of a breach in your agreement,but this shows to people in or considering a iva, to study the terms and conditions before accepting a proposal, and after the iva is accepted when things have settled down go through the terms again with family or friend to understand the terms and responsibilities of the debtor and the creditor.and dont hesitate to contact your ip team regardless how small a concern you may have,thats what the chairman of the creditors meeting told me and that was very important advice that stayed with me.i hope things work out for you in the future gdb88 good luck.
Ronald - once the IVA has been accepted, you can go over the proposal etc all you like - you are stuck with it.
You need to make sure you are happy with the proposal before you sign it.
The problem here is that gdb has obviously breached the terms of his IVA.
The first port of call, as has already been mentioned, should always be the IP.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Unfortunately, that is the way things go. Your first year or so will always go on IP's fees. After that your creditors start to see a return.
So there is only one winner then If someone defaults in the first couple of years of an IVA. That stinks in my opinion ,to be back to square one after paying in £13k . Im hoping that IVA companys don't look for any reason they can find to default / terminate someone from the IVA . They could though and wouldn't lose a penny. They(iva companies) should get paid the same time the cReditors do and over the same amount of time.
IVA companies do not look to default anyone. They have their costs to recoup for setting up the IVA and for administering it. If the creditors think the charges are too high, they will insist that they are lowered.
The majority of us are quite happy to go along with this knowing that in five/six years time we will be debt free.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
