So after 5 long long years, I have finished my IVA, direct debit cancelled and totally made up(although I may have to pay a few quid in after my final review because of a pay rise in the last 12 months)
Anyway now my IVA is finished I now want to rebuild my credit rating, so my question is;
Can I now apply for a vanquish card? I haven't had my completion certificate yet so do I still need permission from my IP before applying for credit?
Congratulations - don't forget that the IVA will still be on your record for the full six years.
You need to wait for the completion letter before starting to rebuild your credit.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Congratulations Eggs are Ace. I have just sat back and am waiting until the 6 years are up for all my bad records to drop off, I am in no hurry to reapply for credit. Not that I will never get credit again, just that I am in no hurry to go down that path again yet.
Last Payment made 04/12/14. Completion Certificate 25/7/15. IVA company GT. No Issues
Bear in mind that payrises are dealt with at the annual review and are not covered by the 10% 50/50 rule. You may have nothing to pay and do not pay anything that is not required.
Micheal, if a payrise was first received in Sept, and a final annual review was sent off for November, would you say that the 10% 50/50 (or just 50/50) wouldn't need to apply for those 3 months pay then?
We have the money put aside expecting it to be paid to them, but it would be nice suprise if we got to keep it!
I shall quote below from the 2014 Protocol which I think are the relevant sections.
10.2 The supervisor should ensure that he/she is provided with copies of payslips (or other supporting evidence) every 12 months. The supervisor is required to review the debtor’s income and expenditure once in every 12 months, using the StepChange Debt Charity guidelines or the CFS. Where appropriate, and at the request of the supervisor, the debtor must verify increases in outgoings by providing documentary evidence. The debtor will be required to increase his/her monthly contribution by 50% of any increase in the net surplus as shown in the original proposal one month following such review.
10.4 Where the individual is employed, the debtor must report any overtime, bonus, commission or similar to the supervisor if not included in the original surplus calculation, where the sum exceeds 10% of the debtor’s normal take home pay. Disclosure to the supervisor will be made within 14 days of receipt and 50% of the amount (over and above the 10%) shall be paid to the supervisor within 14 days of the disclosure. Failure to disclose any such overtime, bonus, commission or similar by the debtor will be considered a breach of the IVA and the supervisor shall notify the creditors in the next annual report with proposals for how the breach is to be rectified.
10.2 deals with pay increases and any increased contributions take effect after the annual review. It affects payments going forward and is clearly not retrospective.
10.4 deals with 'overtime, bonuses, commission or similar' which in my opinion is not a pay rise. If the payrise was substantial then there is an argument that you must keep the supervisor informed of any major changes in circumstances but I cannot see how this includes a standard payrise. A payrise is only used to increase contributions after a full review of the I&E so in my humble opinion the money is yours to keep.
It is certainly arguable and maybe other people have different interpretations.
Last edited by Michael Peoples on Mon Dec 07, 2015 1:20 pm, edited 1 time in total.
Thanks for they reply. it was quite a substantial payrise due to shift pay etc so 50% would have increased our payment by £300 ish. We did inform the IP at the time and they said it would be looked at at the review but we were still uncertain about back paying it.
We shall await the review coming back, fingers crossed.
