What would be the consequences of being in breach due to credit card used in error ?

[anthony wood]

myself and wife have been in a iva for 4 years in apil 2015 with FreemanJones without any problems
Recently I have been getting texts from Barclays bank to confirm a cange of address and application for a new debit card and a statement of account.
We do not have an account with Barclays and spoke to them about this and they replied it was a mix up .
Then a credit card statement turned up in my wifes name with a limit of £250 and with late payment fees now £305
This card account was last used in June 2009
It appears now a new card was issued in October 2015 we never applied for this the card. However my wife has in error used for online purchases ,we thought it was our daughters Barclaycard supposedly using a pin on a Barclaycard pin letter we assumed was hers
We refunded her as per transaction in cash
I have cancelled my wifes card immediately with Barclaycard
This card was not applied for by us just another cock up by Barclays
I have advised FreemanJones of the situation and they advised I was in breach of my IVA contract
What could be the consequences please?

[Foggy]

If the card has been cancelled and the balance paid from your own pockets then any breach has been rectified.

It was an unfortunate error and, hopefully, FJ will accept that and allow the IVA to continue unaffected.

[storeton]

Thanks for your reply it makes me feel a bit easier

[Michael Peoples]

You are probably allowed credit up to £500 anyway so should not be in breach. However email Sarah from FJ who posts here and I am sure she will sort this out quite easily.

[storeton]

thanks for reply it eases our worries

[Steven Hewitt]

Hi Storeton,

Using credit whilst on an IVA, without the consent of the IP, is a breach which we will need to inform the creditors about. However we are keen to ensure this does not impact your IVA especially four years in. As the amount borrowed is relatively low (less than £500) we are keen to work with you to resolve this swiftly and efficiently with minimal disruption.

I believe that you have spoken to my colleague at Freeman Jones and they have advised you what you need to do. If you would like any further assistance, or would like to email any documents to me, then please do so via the contact us section on our website.

Thank you