Hi all, when I entered my IVA last November I was told that if there was any increase in my disposable income then 50% it would be taken to increase my payments
I had a small cost of living raise, but my IVA company are saying all of it should go to to creditors now, and they wont accept that food and fuel prices have risen unless I can supply receipts
Also, they have advised that the income protection I have against all my debts (IVA and secured mortgage's) does not count as an allowable expense3
Further more, my baby boy died and they are telling me funeral expenses don't count as an allowable expense, they will reduce this months payment, but they will force the IVA into 61 months to get the money back
Is this all correct?
Its very different to when I signed up, but they are duty bound top get as much for creditors now aren't they?
I am so sorry to hear your sad news. What a terrible time for you. Your IP company should allow you a payment break for these expenses but you will have to make the money up.
What does it say about payrises in your proposal/chairmans report?
Which company are you with?
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
Sorry for you loss and wish you had found the forum under less terrible times.
Which company are you with? I ask this as many companies are represented on here so you may get more joy than contacting someone on the phone by posing your questions here.
The company are within their rights to ask for proof of increased expenditure so save up receipts for a few weeks to prove that things have gone up(we all know they have!!).
As for the income protection,was this an agreed expense at the start of the IVA? If it was they cannot just change their minds now and say you cannot have it.
As for funeral expenses whilst they could have been a bit more sensitive and supportive a payment break does make sense and an extension onto the length of your IVA(unless you could make up the shortfall over the course of the IVA).
Paul
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
Hi. I am very sorry to hear of your sad loss. It will depend upon your proposal, but I, too, believe they should only add on 50% of the increase in wages. They should also be well aware that fuel prices, at least, have gone up ( unless they are based on Mars! ).
Up to that point they are being obtuse and very unhelpful.
On the subject of funeral expenses my feelings are thay they are being completely heartless!
Might I ask who you are with ?
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Cannot add much more than already said above, but wanted to add my condolences at your loss.
I would name your IVA company on here, as foggy says we may have a poster from their company. Sometimes you get a bad experience and it's purely down to a training need. Or a kick up the backside. IP's and their staff are there to try and help you get through the IVA and it doesn't sound as if you have been symapthetically treated on this occaision.
Like Kazza cannot add anything much but would like to say worrying about an IVA at a time like this should not be your priority, you need time. A payment break is a good idea and give yourselves time. My condolences to you x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
I am so very sorry to hear your your sad news and also the way in which you are being treated. Could you tell us which company you are with just incase one of their representatives posts on here. Hopefully someone can give you the support and advice that you need. x
It sounds as thought you are going through a very difficult time. I would say that if your are in an IVA and your income permanently increases due to a pay rise then your IP has a duty to review your entire income and expenses. If it is reasonable to do so they can then increase your payment. This is an absolutely standard part of any IVA. The 50% rule only come into play when you have received a one off windfall such as a bonus or overtime payment. It sounds as though this was not adequately explained to you at the beginning which is poor on behalf of your IVA company.
James, my proposal specifically states that, at annual review, should my disposable income increase, I am to increase my payments by 50% of any net increase.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
I think the majority of protocol compliant ones doe these days.
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
Again, condolences, cannot even begin to understand....
In resect of the increase in costs, I was with Blair Endserby and then GT and each year I completed my expenditure review I increased the amount of spend on food, utilities, travel, parking and fuel. This was always accepted without question - although the increases were small and (obviously) genuine.
