www.iva.co.uk

My IP has still not answered what is going on with the loss of family credit for higher rate tax payers. All they seem to be offering while I am having difficulties is to reduce payments by upto 15% and then extend the term of the IVA by 25%. Is this right.

Hi and welcome to the forum.

I presume you are struggling with your payments now that you have lost tax credits?

Your IP is correct in offering you a reduction if you need it and if that does happen then they can extend your IVA to make up any shortfall in the dividend.

You can ask for a new I&E to be discussed.

I'm just wondering what else you were wanting them to do.

The ip seems to be offering about as much as they can I am afraid.

Paul

Perhaps I am not being clear. The gouvernment is taking all child benefit away from higher tax payers and still we do not know what is going to do to our IVA payments.
We have 4 children and therefore £256 per month is a major lump of income to loose.
Surely as this income loss is not our fault and due to gouvernment policy I do not believe exteneding the terms does not seem really fair.

I'm afraid that this is something you have to take up with your IP. There are a lot of people in the same position as yourself and whilst it is not your fault, you will have to accept that you may have to extend the IVA.

Galling as it is, this loss of income isn't your ( our ) fault, and you rightly question why you should pay for it. However, I imagine the creditors (who were not ALL party to the "banking crisis") feel much the same way. Another casualty of the financial mess this world is now in.

I don't say any of that lightly, this mess has cost me a small fortune (and being in an IVA that small fortune is, indeed, significant). But. we have to chat with our IP's, who, themselves are limited in the help they can give us, and try to soldier on until we are out the other side.

Extending the term seems unfair, but, at least, it eases the burden a little in the meantime.