What im trying to portray is that this is my property, im am not affiliated with this IVA, we are not a married couple and i can charge what i want. The IP cannot have a say at how much i want to charge for rent.
The IP in reply to the payrises we told them, wrote and said that no increase is necessary at this time. My point is why should they wait until the annual review to then ask for extra money. There job is to direct the client through the laws of an IVA, and to also be fair to the creditors in the amount of money they can safely get on a monthly basis. What im saying is that they could of had more money sooner rather than later.
To add to the above: What the IP is doing is actually preventing me from paying more off my IVA sooner, so therefore potentially with other pay increases over the course of the 60 months, she could be in a position to pay the IVA off early and be released from the IVA earlier. Or be in a state that the IVA is small enough for someone to help out and offer to pay the balance to finalise the IVA. So the creditors get more money, which i would expect they wouldnt want to turn down.
Quote: What im trying to portray is that this is my property, im am not affiliated with this IVA, we are not a married couple and i can charge what i want. The IP cannot have a say at how much i want to charge for rent.
I can understand your frustration with this and yes you can charge what you like but it does not mean the IP has to accept it. It would go by what the current market is not what you charge
The idea of an IVA is to pay back as much of the debt as you can. If you pay extra across during the 5 years, this will mean that the creditors can expect a better dividend. The IVA will not finish early just because you reach the original dividend earlier than planned.
Dependent upon how much you pay during the 5 years, you may even end up paying back 100p in the pound.
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
Yes you are absolutely right, i would not want to charge above what is a fair and reasonable price for where she is living. She lives in Hampshire in a 1 bedroom flat, and i have increased her rent from £360 to £400. This i believe is a fair and reasonable price for a 1 bedroom flat, even if it is being shared. As properties of this type are renting for around £500 - £550 per month.
I have skimmed throught this thread, and maybe I am missing the point, but the onus is always on the client to pay over surplus monies and not necessarily on the IP to demand it - of course the latter is the most usual.
It does not appear that the IP is going to demand back payment, so your partner has therefore benefitted from this extra money to the detriment of creditors. If the intent is now to disguise her increase by increasing the rent that she pays to you, then I think this will give rise to suspicions on the part of the IP who may not accept such increase as being reasonsonable and still demand a forward increase in payments.
you cant pay back more that the debt is worth to the creditors, for instance if the debt is £20,000, and your payement can be increased, over the course of the 5 years, it dosent mean that you could end up paying them £22,000. If you reach £20,000 in 4 years and 6 months, then that is when the IVA should finish.
So the more you pay you could Potentially pay it off earlier, or be in a position to offer a final settlement. So the more you pay, you are shortening the amount that is actually written off by the creditors.
I said that it would not finish earlier just because you reached the agreed dividend. If you do manage to pay back all of the loan, plus the statutory interest, then yes it will finish earlier.
It will not finish earlier unless you offer a full and final, or pay back the total amount borrowed in the first place.
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
Don't forget that the IPs costs would have to be paid in full as well as creditor claims to receive an earlier finish.
Has your partner spent the extra money that she now wishes had been paid to her IP? If not, then I am sure they would be more than happy to accept this in a lump sum - which as you say may well reduce the payment term for her.
