I am 5 years into my IVA. I haven't missed any payments or had any issues. A senior manager post has arisen in work and I am unsure what to do. It is likely to be the last promotion in my lifetime and I have been waiting years for it.
I work for the NHS and my contract will change and therefore my overtime will considerably decrease. I am with GT, but they just continually ignore me. I stand to lose about 5k per year, which obviously I cannot afford to do.
I have 2 years left of my IVA, so is it worth trying to get a variation based on my new earnings? I repeatedly explained to GT that my overtime was not guaranteed and they insisted on including it.
My best advice is to consider the consequences of the reduction in salary, and discuss this with your IP. Why are you doing a 7 year IVA in any case - seems a long time!
I would definitely go for the promotion and ask your IP to put forward a variation - given the amount of time you have already paid, I would say you have a really good chance of getting this accepted.
Promotion opportunities don't happen everyday. I would consider your dreams and go with them. Having been paying your iva for five years already i would hope creditors were agreeable to reduced payments based on new salary if successful.
Good luck.
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Thanks for the advice. Its a quandary for me. Melanie, my IVA is 6 years plus additional year as no equity in property. I will go back to GT yet again and see if I can get any assistance from them.
Why do you have to pay an additioanl year because there is no euqity in your property? This does not make sense, and I would query this with your IP as you may possibly have misunderstood the terms. If the IVA is sussequently only to be run over six years, I would say you have an even better chance of getting it closed early, if you are left with no disposable income.
Sorry i didnt explain that very well. Its a 60 month ivs with an extra 12 months if no equity can be released from the property. So 72 months in total. We took a 3 month payment break 2 years ago when our central heating system packed in during that bad cold snap, so it will be 75 months in total actually.
But if there is no equity, then there is none to release and therefore no 12 months extension - unless of course the terms of your IVA dictate that if there is no equity you have to extend - which would be pretty unusual and unfair. Do get this checked out, so that you fully understand when your IVA is targeted to conclude.
I haven't looked at the documents in 5 years, so apologies for the sketchy reply. The document states "Receipt of sums in lieu of equity. If i am unable to procure any nee mortgage facilities, this will not be viewed as a failure to comply with the terms of the arrangement and my supervisor will have the discretion to consider accepting alternative proposals including a maximum of 12 monthly contributions beyond the 60 month term at the same level as paid in the fifth year of the proposal". It was explained to me by GT years ago that if there was no equity in the property, i would pay an extra 12 months.
I would definitely get that verified by the IP acting for you personally, as without sight of the full documentation I cannot give more specific advice - indeed it would be dangerous for me to make too many assumptions.
In my mind, if it is demonstrated that there is no equity which would require to be raised under the terms of your IVA, it would seem very unfair to have to extend the IVA beyond the usual term of five years.
