IVA I/E

[markss]

Does any know how a IVA is calculated and what are the allowances allowed. I had my IVA reviewed and my original contribution was £302 2 years ago. My net pay was £1,200 my iva then increased to £540 last year. and now my net pay is £1,800 but the IVA has doubled up to £607. It seems such a high rise. my salary has not doubled pro rata. I am struggling with this big increase. I think my petrol claim which is paid on my salary slip has been included as income would that be correct? I am feildbased in my job and travel 700 miles per month.

[MelanieGiles]

Your petrol allowance should certainly not have been included as income, so long as you are also not showing the cost of the petrol as an expense in your expenditure list.

The IP should have calculated your new payment sum from information provided by yourself - so have a look at what was submitted and ask the IP to justify the amount he/she is claiming.

[markss]

I will double check I just acepted it thinking they would already know that. Thanks Melanie

[markss]

Do the IVA guidelines have a maximum for expenses similar to BR allowances.?

[kallis3]

BR guidelines are different to IVA ones. They are much more generous.

[markss]

my original I/E was:
water rates £15
Electricity £20
Gas £20
Car insurance £29
Car tax £15
Car maintenance £30
Petrol £ 105
Food / household £130
Personal hygiene £15
Clothing £20
TV License £6
Contingency £50
Mobile phone £30
council tax £46
rent £450
I get paid a petrol allowance from employer £300 per month which does reflect fully what I spend due to my job
=£981.00 I noticed there was no dental / optician allowance
My net pay £1,800 I now pay £607 in to the IVA and struggle. the original amount 2 years ago when on lower income was £320 (£1,200 net pay) it then increased pro rata which is fair enough but I still feel the new figure is high. Can any one compare this? my debts were £78k no assesstts

[L-E-E]

The guidelines for IVA expenditure are set by the Consumer Credit Counselling Service and the British Bankers Association

[kallis3]

I think you need to speak to your IP if you are struggling. It may be that they can reduce your payments.

You need to get them to remove your petrol allowance from your income.

[thezapping]

Hi, I've looked so apologies if it's posted elsewhere, but does anyone know where I can find the guidelines by CCC for income and expenditure? My IP has switched from Wilson Phillips to Grant Thornton and the categories are separated slightly differently so I need to work out how to separate some of my allowances!

[Michael Peoples]

They do not like them published but if you speak to your new IP they can explain what the allowances are and amend any differences.

[winston2008]

Hi, My understanding of an IVA is it is an individual arrangement so the amount paid back is not dependent on the debt but the circumstances. If your net pay of £1800 does not include the petrol then this less your outgoings of £981 leaves you with £819 which by rights could all be claimable via your IVA so to only pay £607 is good. However if the £1800 includes the petrol you are about a £100 short and need to speak to your IP. As I understand it any monies left after you have paid for everything on your I&E can be requested. I would suggest though that some of your figures are on the low side do you only pay half to some of the bills?

[markss]

Thank you all for your help with this. I have completed a new I/E form which is more realistic. I travel to work by car each day 68 miles and costed this at 0.40 per mile. Is this too excessive permile? I travel 4 times a week there.

[kallis3]

I have never done mine mileage wise - it's what it costs me to put fuel in the car that I use.

[Shining]

I average mine out over a month and put that on my expenditure form. I never had to supply receipts but did keep them in the month running up to the review just in case they were asked for. x