My IVA terms state that if I miss 3 payments the IP has to apply for BR. I pay £540 per month and currently have arreas of £700 They increased my original payment of £292 in first year to £540 this secound year which was difficult for me to meet and I have been paying £500 per month. resulting in the arrears. I am worried that I may have to miss Januarys payment although will pay extra in February. Due IP's go strctly by the book to apply for a br order. My IVA terms state if I miss 2 payments I will be made BR. very concerned.
What normally happens is that if you miss three payments without prior agreement, your IVA will fail. Some proposals state that if there is sufficient money, your IP can petition for BR, although it's unusual these days.
You need to speak to your IP and explain your circumstances to them. If you cannot cope, then you need to do a new I&E.
Speak to your IP first though.
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
If your IP has any sense he/she will realise that your are struggling to make the increased payments and perhaps look at a reduction more in line with the original figure you were paying.
Give them a call next week to chat through your options.
hey howard
sorry to hear this has happened. you definitely need to contact your ip if the figure you are now paying isnt allowing you to live and pay your iva. what have they increased the payment so drastically for-are you able to say. definitely sounds like they need to reduce this
can you post details of why it was increased so one of the pros can help you ?
Hi
I echo Melanie's thoughts, you need to go back to your IP with an updated and affordable income and expenses sheet. They can reduce your payments without going back to your creditors unless payments drop below the original 292 pounds
Regards
Thank you all for your comments. They increased the original figuredue to a salary rise. I will issue a new I/E and submit it to them. Surely me paying in to the IVA is better for creditors than BR?
I would have thought that your creditors would be happy to receive something via your IVA than BR.
Good luck with the new I&E and let us know how things are going.
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
Thanks Krallis. If I were made BR surely the creditors would get less as I have no assetts / property etc only my car which I need as I am a feildbased sales person. Looking at the BR option may be an easy way out but I want to try repay some of my debts.
The creditors would probably get less, and I hope they realise this.
You should be proud that you are trying to repay your debts.
I would definitely speak to your IP next week.
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
