Hi again, another question! I have recently applied for a F&F and am awaitng for the variation to be drafted and creditors meeting arranged. However, since then, some 'voluntary exit packages' have become available in work (I'm a civil servant). This is something I would have to apply for and there is no guarantee of acceptance. The terms of the package would be to pay 1 months salary for each year worked, capped at 21 months. I would get the full amount as worked 25 years, so we're looking at around £36k after tax. Is it correct that I would have to pay it all into the IVA (the outstanding balance on my IVA is more than this amount), bar 6 months salary? If I took the package, I would be looking at using the money to set up in self employment, so couldn't do it if I had to pay it all in. I was hoping the 10%, then 50/50 rule would apply? Unfortunately, due to the tight deadlines of the package, there is no way my F&F final outcome and if successful, CC would be received before the money has been paid (due to be paid end of June). Payplan currently have backlogs for F&F, so are estimating months rather than weeks. Sods law would be I have to turn down the package (if offered) and then the F&F gets accepted, but that's life I guess! Grateful for any advice, although I think I already know the answer, but worth checking. Thanks again.
Too risky to do this without the F&F being agreed. Put pressure on Payplan and explain the importance of the variation and try and speak to the IP. It is not really good enough especially as Payplan are one of the banks preferred debt advisers and get numerous referrals each month.
I've already done that Michael but they've said to be fair to all customers, they can't give preferential treatment to one (i.e. by speeding up the F&F process for me). They said they could put a clause in to say any subsequent redundancy monies can't be paid in but that would obviously increase the risk of the F&F being rejected. Am I correct in thinking I'd have to hand over pretty much all the money if I took the redundancy and the F&F was rejected (or the redundency was paid before receivng the CC)?? Thanks for your advice Michael. Wish I had my IVA with you now!!
You could put something into the variation to say that there is a threat of redundancy and any such payments are to be excluded in the event the F&F is accepted. If creditors reject the variation then everything reverts back to normal and you do not take the package on offer.
I still think it is terrible that there is such a backlog on variations as it is not difficult to switch resources. However it could appear that Payplan have their resources at the front end to get you into the IVA and once approved the service and treatment deteriorates.
We like to provide a service from start to finish.
I am aware of the VES scheme you are talking about (!) ... its the 23rd you will know by if you are to be offered the package ...once accepted there will be no going back - the timescales are against you in this I personally would not risk my employment whilst in an iva ... there will be other packages I am sure in months/ years to come.
Sharing from experiences of dealing with debt
There is a solution for everyone .... Just need to stay positive !
Hindsight is a wonderful thing Michael! I've actually been contacted by Payplan last week to provide payslips so hopefully things are starting to move. Payplan have advised against entering such a clause concerning the redundancy as they think it is far more likely the F&F would be rejected if they know a redundancy is on the cards.
Hi Luluj, yes you're correct, it is the 23 Feb and I then have only until 16 March to accept or decline so time is very much against me. I know once the decision is made there is no going back, hence my dithering. It is such a difficult decision. My partner (whom I don't live with), is moving area and has asked me to come with them. This would be so much easier if I'm out of the IVA by then. Also the VES would give me the funds to set up a new business. There is a chance if the F&F is accepted I'd have my CC before the end of June, which is when the monies would be paid. However, I accept the odds are not in my favour. I will be gutted if I decline the package and then my F&F gets accepted!!
Last edited by Anders on Mon Feb 09, 2015 9:54 am, edited 1 time in total.
oh what bad timing for you, sincerely hope you get the outcome from this that you want. It is the completion certificate I would be hesitant over as they're so variable in how soon they're issued
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
