It should come down to negotiation and a little common sense. If 1973 is offering his creditors £200 per month and a dividend of 10p in the £ his creditors would be entitled to be miffed at the school fees. If it is a reasonable offer and dividend return with a possibility that payments could increase when the children go to secondary school, creditors would obviously be more likely to accept.
In bankruptcy, if you refused to remove your children the OR or trustee would need direction from a judge and there is no guarantee that a judge would not deem private school as a necessity and allow the expenditure. It has been said in the past that children can not be made to suffer for the sins of the parents.
How often do creditors allow the payment of school fees??
Just for many of us the thought of paying several hundred pounds a month for something thats also provided for free would appear to be a strange thing for creditors to allow.
I have no objection to people who can afford to pay fees to use a private school,but given that money is meant to be tight while on an IVA,and many of us have to work on a very strict budget for several years the idea that someone else can be allowed to spend an amount of money on private schooling appears unjust.
And Michael I think you will find that most children in families that have IVA's do have to suffer for the sins of the parents!!
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
Creditors might accept the private school fees on the basis that alternative education in your area is hopeless and would have a drastic effect on your children. Fingers crossed for Monday though.
Regards, David Mond, Insolvency Practitioner for over 46 years. Personal Insolvency Practitioner of the year 2012, Personal Insolvency Practitioner of the year finalist 2013 & 2014 awarded by Insolvency & Rescue Magazine and 2015 finalist for Personal Insolvency Firm of the Year.
It would be very hard to prove that alternative education in an area is hopeless and surely your children are entitled to a place in a state school. To offer £500 a month and have children at a private school costing more than you can contribute towards your creditors is surely a kick in the teeth to those you owe money to.
Good luck with whatever you decide to do,but realistically I wouldnt expect the creditors to go along with your plan.
Let us know how you get on.
Paul.
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
I agree with you totally Plasticdaft. 1973nl - you are offering your creditors less than your school fees, I'm finding it very hard to justify this and hope I am wrong but feel your creditors will also have this view.
Unfortunately children are affected by their parents mismanagement of finances, I certainly feel my children are suffering because of my incompetence in managing my money. We all want what is best for our children but sometimes we can't give them everything that we would like.
Nail and head Amandadh31,while the forum is all about support I cant not post when someone says they are offering creditors £500 a month but paying more than that on schools fees. My son needs new shoes but due to my car needing repairs it aint gonna happen till next month so out comes the superglue. Children do suffer for parents mistakes,and thats a fact.
(we do have a monthly clothing allowance but thats been used up till june on car repairs!!)
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
Thanks all for your posts! I've been away for the weekend working so only just catching up.
I'll have to wait and see what they say regarding school fees when I have my meeting tomorrow.
Once I get a definate answer, I'll look at my options. I know what you all mean about my fees being more than my offer.
I couldn't move them straight away anyway as I would have to look around for somewhere else first. Maybe they would at least let them finish this year as a compromise?
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
