Windfall , would like Melanie Giles' comments

[hara]

I have obtained an IVA recently with modifications,voted by proxy.

one of the modifications is windfall.

All windfall have to be declared and handed over including redundancy Money.

Though unlikely to be made redundant I am little concerned,but if I did not agree IVA may not have gone through.

In followig paragraph it says that I have to hand over any wind fall of over 500 pounds immediately to IP.

I phoned and asked and subsequently clarified with at least three people at the firm, whether it meant that I do not have to declare or hand over windfall less than 500 pounds and it was confrmed that I do not have to declare or hand over less than 500 pounds.

I asked it to be confirmed in writing. But was informed that it is implied in the proposal.

I would like to know if a family member helps from time to time with small amounts,is it classfied as windfall?

It would not be less than 500.

Has any one had such clause in their proposal?

I would appreciate all your valuable comments.


Hara.

[hara]

Sorry,

It should be,

It would be less than 500.

[jpj]

I guess it depends how often family "help you out" if you get £300 every 2 or 3 months they might class it as unearned income!?

[MelanieGiles]

Hi Hara

I can definately confirm for you that these monies would not be treated as a windfall.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[hara]

It has bee cinfirmed,that if,hypothetical I win lottery,say weekly, as long as it does not exceed 500 or more,I do not need to inform or hand over.

In a way I like this clause.

Has any one experience of such or any other friendly clause?

hara.

[Adam Davies]

Hi
I,m surprised Hara,s redundancy money has to be handed over ? I thought that this was to be used for "living" off whilst seeking a new job.
Your thoughts Melanie
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[MelanieGiles]

Oops - missed the point about redundancy money sorry!

Redundancy is paid as compensation for loss of office and is to be used until alterntive employment is found. It is only treated as a windfall when there is a surplus - ie if new employment is found before the money has been absorbed.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[hara]

I asked but apparetly it is the case that I have to hand over,I shall ask again.

Though I am very unlikely to be made redundant,it is very worryng.Five years is a long time any thing may happen!

That is another reason I want to end IVA early,hope fully in 24 months.

If we get enough money for the house,we may be able to sell,down size,if the creditors agree to release me from 4th year clause and agree for a full and fianl settlement.

Hope!Hope! and Hope!

Hara.

[hara]

Dear Melanie Giles,

You say it would not be treated as wind fall, what would it be considered as?

Hara.


hara

[olympic_torch]

I have the £500 clause in my proposal also.
Now then, if i could manage to win £499.50 on the lottery every week, woohoo!

Aucto Splendore Resurgo.
(4 down, 56 to go)

[Adam Davies]

Hi
It would be your luck to win £501
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[BlueShoes]

Would you not then pay the £1?
Or the whole £501?
Blue

[hara]

Hypothetically,

as the clause is there, I felt that it had to be adressed as IVA is for 5 years.

hara

[Adam Davies]

Hi
I would think,in reality,that any money over the £500,so yes only the £1.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp