F&F - I have just completed my 4th year of an IVA, at the start I was paying in £398.15 per month for the first 23 months, my expenses then increased and my monthly payment dropped to £338.43 for 7 months, then a change in circumstances allowed for the payment to be increased to £491.15 for 5 months, then another change in circumstances allowed for this payment to be increased to £545.15 per month which I have been paying now for 13 months, I have also recently paid in two lump sums from backdated pay awards and from a bonus of £2126.68 and £4270.52 respectivly.
So original dividend payable to creditors is £28666.80 and to date I have paid in £27466.36.
I have now made a serious blunder at work and am looking at being suspended for approx 3 months on full pay and the likely outcome will be dismissal.
So if I effectively have 3 months income left to come in and I pay these 3 months at the current rate I would have paid in £29101.81 to the IVA, which is £435.01 over the initial expected return!
Do you think if I submitted a F&F offer of payments to date, now, working on the principle I will be making a further 3 payments to get the IVA over the expected return to creditors it would be accepted?
My initial IVA was 5 Years but Northern Rock extended it to 6 from the outset, when the IVA was agreed a modification was put in by another creditor stating that the IVA will run for no more than 72 months, so as I doubt there is any equity in my property, I will not be able to uphold the equity release clause but think I am protected from a 12 month extension due to the one creditor stating that the IVA will not run for more than 72 months.
Sorry to hear about your work difficulties. Let's hope they get resolved soon for you, and that dismissal is not the decision taken.
If you can demonstrate that you will be without income moving forward, and given that you have already paid in more than was originally anticipated, it may be possible for your IP to present a variation of terms based on creditors receiving what has been paid to date in full and final settlement, but you will need to confirm the equity position in the property, and creditors may choose to allow a payment break to see if you can find alternative employment - say over a six month period.
Have a chat with your own IP to see what they think.
