www.iva.co.uk

We are considering an IVA. I am due to go on maternity leave at the end of March and would only be receiving SMP, losing about £120 per week, would this affect our payment at all?

Hi,

An IVA is all about affordability. It would depend upon your disposable income once priority debts have been paid. Are you planning on going bac to work afterwards?

It may be that a DMP is better temporarily until such time as you return to full time work.

However, I recommend that you speak to a professional. Visit www.iva.com for a list of companies and reviews. Give one or two a ring and you will receive free and impartial advice as to all the options open to you and the best way forward for your circumstances.

An IVA may be an option as the changes in income can be factored in at the beginning. The payments can be structured to go up and down as it is quite easy to calculate tax credit entitlements etc. It is certainly worth speaking to an IP and as Jan says there is the option of a temporary DMP.

If you are going to lose £120 per week it is bound to affect your affordability quite considerably - but that doesn't necessarily mean that an IVA is not possible - I do lots of them for people in your circumstances where the payments are merely staggered during the maternity period - to increase once you return to work - but don't forget the additional expenditure you will also incur once the little one arrives.