Selling house in IVA

[Pbryan]

Hi All
I,m 15 months into my IVA and my wife lost her job a few months ago but has found alternative employment. However our nett income per month had dropped by £500 due to her earning less money. We've just done our first annual review and our IP has replied saying that we do not have to increase our contributions as there is no surplus income. He seems to have ignored the fact that not only is there no surplus, indeed we are £500 per month down!.and has kept the payments the same. The question is a) what chance of reducing contributions now as our income has dropped (we're only paying back 24p in £) or b) would I be allowed to sell our house and use all equity to repay balance of future contributions? (we do have a 4th year equity release)
Cheers

[MelanieGiles]

Hi Pbryan and welcome to the forum

Your IP is supervising the arrangement that you agreed to make. If you have a problem in making the payments, this should have been discussed with the Ip at the time of the review. It may be possible to reduce your payments, but this can only usually be done with the agreement of your creditors at a newly convened creditors meeting, and also if you are thinking of selling your house this will also need further discussion.

I suggest that you call your IP today to get the ball rolling.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[iva experts]

Hi Pbryan,

I would contact your I.P as soon as you can, because it is a problem if you have £500 less each month than you thought you would. Explain to your I.P that you are struggling but you are willing to release the equity you have in your property.

Check your report as you may have a clause that states no variation meeting can be held in the first 24 months. Best of Luck [:D]

Best Regards. IVA Experts