IVA 2 months old and faltering - help

[shellmat]

Thanks everyone I will email IP directly if that break could be authorised without referring to creditors thats all we want. I haven't had a vet bill for any of the animals in 7 years and I fell and cracked my tooth that with the plumbing and car tax all within two months of the start of the IVA - is just bad timing.
In response to Mel we did raise concerns about the I&E in emails and over the phone but trusted that this was the way that the IVA would work. I was uneasy about the fact that the final amount proposed was exactly to the penny half of what we originally paid our creditors (and it was the amount originally proposed by the IVA company in my initial enquiry telephone call) and that throughout the process it always came back to that figure whatever I said or emailed. I got the message that this was the figure that would see our IVA approved and it was.
I think we were too quick to accept that amount but we were desperate and didn't feel we were in a position to argue. We were and still are relieved to be paying half the amount we used to towards our debts. We knew it would be tight but because we had managed to keep going on minimum payments without defaulting up until starting the IVA process we thought it must be better for us. I'm so worried now, that better may not be enough but we are going to give it our best shot.
Thanks for all the advice. Will keep you posted on outcomes.
Take care all
Shell X

[MelanieGiles]

I think that your IVA was put forward with little thought for your true financial circumtances, and that your IP should now look to put this right to ensure the longevity of the arrangement.

[Pennyless]

Hi shellmat you really have been going through it lately and it seems you are willing to do anything to ensure your IVA stays on track....its just a great shame that your IP doesn't see things "sensibly" like the other experts and IP's on these forums.

Andy I agree entirely. Making a person pay more for a period of time, be it 1,2, or even 6 months is ridiculous when in reality many of us IVA clients are walking a fine financial line to start with.

Melanie its clear that the reason so many of your IVA's go the course is that you have a grasp on reality, which in the long term is better for creditors, debtors and IP's alike, unfortunately it seems that some of your counterparts in the business would rather take a much more short-sighted view, which I cant see as a benefit to anyone.

Good luck shellmat and I hope your IP see's sense.......one month payment break with the £528 deficit placed at the end or held until you can afford to repay it would be my plan.

[MelanieGiles]

I too have to work within the creditors guidelines, which means that some people who come to me wanting to propose IVAs to their creditors are unwilling to reduce their expenditure to those limits and therefore either end up going bankrupt or doing a neverending DMP. If higher expenditure can be justified - even if it is for good reasons such as special dietry requirements, private schooling or support to elder children at university we will put this forward, but cannot always guarnatee it will be accepted. If those people then ultimately go bankrupt, the creditors will have lost out.

[kallis3]

I do sometimes wonder if the creditors realise this.

Surely they are far better off accepting a fairly low dividend in an IVA, rather than possibly getting nothing in BR.

[MelanieGiles]

If can often take years Jan, for creditors to react to things happening in the marketplce. For instance the IVA protocol which came in in 2008 was the result of research that started in 2000.

[kallis3]

Blimey - didn't realise things took that long to sort out.