www.iva.co.uk

Hi,

My IVA was approved in August and today I received a statement from a company who I haven't dealt with in well over a year saying that I owe £2937.50 in respect of 25 months of unpaid HP

In September last year the payments were all up to date, but I had to return the hired goods as I could no longer afford the HP.

I thought that was everything sorted out. They were paid up to the date that they received the goods back, so I am now shocked to receive a statement over a year later saying that I owe this money.

As they took back the goods, surely they cannot expect payment for goods no longer in my possession. But if they are entitled to ask for this money, can the debt now be included in my IVA that was approved in August.

when entering the IVA there this company was never included as I didn't think there was anything outstanding.

Any advice would be appreciated.

I think you are still liable for outstanding payments even though the goods were handed back. Do you still have your agreement? What does it say in that?

You need to speak to your IP and tell them about this, they should be able to include it but best to let them know as soon as possible.

Hi Kallis,

Thanks for your quick reply. I don't have the agreement to hand, but if there is a liability can this now be included in the IVA?

I would contact your IP straightaway and hopefully this can be included or a solution offered. All the best. x

Hopefully it can be included but you do need to get in touch with your IP now.

Let us know what happens.

Thanks for the replies, folks. I have emailed my Case Manager. Hopefully, we can work a way to sort this out.

I also spoke to the company involved. It wasn't a HP agreement, but a rental agreement. Apparently, this works similar to a mobile phone contract. If you stop using it during the 36 months and return everything, you are still liable for the payments remaining under the rental agreement term.

I'm sure you'll get it sorted.

This probably can now be included into your IVA, but what a shame it was not thought about at the time your proposals were being prepared. If you are required to meet a minimum dividend by the end of the IVA, you may find that a few more monthly contributions are required to be paid, but your own IP will be better placed to give guidance on this point.

I've seen this on a few occasions before and although not ideal the liability should be able to be included in the IVA. There are several ways of dealing with it depending on your circumstances/level of debt etc. As above probably best to have a chat with the person dealing with your IVA.