www.iva.co.uk

Am I getting this correct?

If I earn overtime and it is under 10% of my take home pay do I get to keep it and do I need to inform my IP? If I earn over 10% do I still get to keep 10% of the overtime and then split the remainder 50/50?

In the past DFD have asked for 50% (advised over the telephone) of what I earn in overtime over and above my normal take home pay. However, on reading paperwork it states "over and above 10% then 50%". I would be grateful if this could be clarified.

Yours may be different and you will need to speak to your IP, mine is a straight 50% split.

Regards BP

we're with DFD and it's 10% then 50% ....however they stung us as we automatically presumed the 10% was based on the nett take home pay agreed at your annual review -but they say not - they say it is based on the original take home pay when the IVA was first agreed !

Thats rediculous as you will always then owe them money if you are lucky to have a payrise etc, in one hand and then out the other me thinks. Surely it should change with each annual review and they take into account your wages at that review and not the one previously!

At my annual review I asked for a revised amount that I could earn up to and they gave me one, that's a little unfair surely keeping it at take home pay when the IVA was first agreed.

Totally agree but seeing as hubbie has had a £3k payrise since the start of the IVA and still they have not said an increase is necessary I am not shouting about it too much !

So far we have not had to pay any payrises across to our IVA's, I even phoned this month as I had one, and they said not to bother until our annual review.

Suits me.

I think your IP firm are wrong in my opinion Lulu. The benchmark for the review should move each year as your salary increases. I would definately get this looked into.

well at least i wont have to worry about payrises this year as we aint gonna get one[:)]

just started my IVA with DFD and mine is a straight 50/50 split with everything over our normal take home pay.
not complaining as they said the more they get the sooner the iva finishes.
is this correct?
I thought it would be for the full 60 months and I would pay back nearer the full ammount I owe.

I'm very surprised that DFD let you keep a pay rise of that amount Luluj.

I think any increase should be taken into account in your review. The whole point of an IVA is that it does take your circumstances into account.

I would speak to your IP as soon as you can, make sure that they are not going to change their mind further down the line after you have committed the extra cash.

For information on IVA's or the other possible solutions, these links could be useful.

**Links removed. Advertising isn't allowed on the forum**

Hi all

Apologies for the response. With regard to overtime, DFD’s current proposals state that 50% of any additional monies the client receives over and above the amount in their income calculation should be paid into the IVA. After every annual review, the level of income that this applies to is amended to the income in the annual review.

However, this is subject to modifications on any IVA. There is a modification stating that if overtime is under 10% of the take home pay, the client can keep it and then pay in 50% of the remainder. The reasoning behind this modification is to help provide the client with some incentive to work some overtime. If you are unsure, check the modifications to your proposal and then speak to DFD. We will be happy to explain their reasoning behind the overtime calculations.

Thanks

Thank you for your response Declan. Yes we have the 10% 50/50 in our proposal upon re-reading.

Hi Mrs T
No worries, and as I mentioned above, if you do have any queries, dont hesitate to ask!

Thanks