www.iva.co.uk

My wife and I had debts of £77000. We were not in any arrears but owing to a change in circumstances, were faced with the likelihood of soon getting into arrears. We sought financial advice and were advised that Bankruptcy or IVA were our only options.
We opted for the IVA. The IP put forward an offer of 88p/£ which meant that after fees, the creditors would have received 75p/£. Everybody accepted except for Egg. They insisted on 100p/£ with the fees on top, which we are now paying.
That was 6 months ago. I do not get much overtime but we do have the 50% clause for overtime and 70% for bonuses.
In September I will get £400 overtime (after tax) but this is a one off. Because we are paying 100p/£ I fail to see why I should pay this OT to the IVA. Is there something in legislation that says I must produce pay slips to the IP? If I refuse, what can they do?
Frankly, Bankruptcy would not be such a bad thing; I do not have my own house and I can see that the IVA will soon be unsustainable owing to the rapid increases on living costs.

Hey Bald Runner, welcome to the forum. Could you just post how much of your debt was with Egg? I think that you would have to show your payslips or P60 to your IP and really it is your IP that should be able to help you, I can't, I'm sorry, so please hang in there and a technical expert will advise you. X

Ah, I wish it was so simple. We owed Egg about £30k but a company called Grant Thornton voted on Egg’s behalf and Grant Thornton also represented some other of our creditors. Accordingly, Grant Thornton had the say. Some of the other smaller creditors had already accepted the initial offer.

Hey Bald Runner, I believe you will have to hand over part of the overtime in accordance with whatever terms are in your IVA but if you end up paying the whole debt in full plus interest plus the IP fees then your IVA should conclude earlier. However, if you are struggling to meet payments now then you must seek help from your IP as they won't want you to fail. I can understand this must be awful for you. Hang in there for Melanie to advise you. X

If you pay over your overtime it will mean that the IVA will be finished ealier as Viki has already mentioned. Why would you not want your IP to see your wage slips?

I thought that all creditors voted (or not) on their own behalf. Why would Grant Thornton be voting for creditors?

Kallis, I thought that but I'm sure I've read on here that GT are accountants and can act for creditors, but that was ages ago and I may be wrong. Melanie or Andy will know. X

Didn't know that Viki. Thanks.

I don't think I would fancy using someone who can vote on behalf of my creditors. Seems a bit biased to me.

Creditors do sometimes have other companies voting for them - I know KPMG voted for one of mine.

Do the creditors tell the accountants how to vote? Or do they vote as they think fit? This is new to me.

MelanieGiles wrote:

If you pay over your overtime it will mean that the IVA will be finished ealier as Viki has already mentioned. Why would you not want your IP to see your wage slips?

It's not that I don't want them to see them I am merely wondering about the legalities. I am considering BR within the next few weeks anyway so it is academic.

In reality, most of the creditors are represented by four companies - they rarely vote or take decisions themself.