www.iva.co.uk

Hi

Im just completing my annual review having completed 2 years of my iva heading into year 3. My circumstances have changed this year due to the birth of our second child.

We have discovered today that childcare for our second child will be £390 month (we have no option as both my parents are elderley/disabled and cannot assist us and it is cheaper than nursery).The government will give us £69 towards the childcare costs!![:0]

This means my surplus income will drop from £396 to £186. Obviousy this is much less than a 15% reduction. will my iva proposal now be rejected?

My original payment was £340 but this increased last year to £370.

Your IP will need to call another meeting of creditors but if that is what you can afford then there is no reason why creditors will not accept the variation. They may ask for an extension since the drop is quite severe but I doubt if they will fail the IVA for circumstances beyond your control.

Hi

thanks for the reply my iva is already set at 6 years,would they extend it beyond this term?!

thanks

It is possible although I think six years is long enough. Your IP will no doubt fight your corner and try and keep it capped at six.