In the 4th year of IVA.My wife has just been classed as disabled and now receives allowance for this. What happens. Do we let DFD know? It is not income but allowance for her care.She is still working, although struggling along.
If she has to finish work will a final settlement be offered and what is the likely outcome of this?
Broke is right, but your IP should not touch this income unless they have already made expenditure allowances for your wife's disability. DFD is an experienced company and I'm sure they will do the right thing.
I'd have a chat with your IP if I were you. It's always best to be up front as soon as you know if your circumstances are to change.
If it comes to the point where you can no longer make contributions I have seen IVAs 3 or 4 years in completing after proposing funds received as full and final settlement. Obviously it is totally dependant on what your situation is but there are lots of options available and I'm sure DFD will be able to advise you.
Taking the money she is receiving to one side, what additional costs have you incurred in order that she is appropriately cared for. This needs to include regular travel to the doctors and hospital, regular outings if she is housebound, additional heating costs if necessary and any medical or personal items she requires to make her life more comfortable.
My guess is that the allowance will quickly be aborbed by those costs, and rightly so.
