My wife and I have been in an IVA now for 7 years. Just over a year and a half ago we were told it was ended but we can't have it finalised until all the PPI claims have gone through and all that money has been paid out to our creditors. How many years does it take for a 5 year IVA to be finalised.
You need to speak to your IP and find out why the file has not been closed. Many firms are closing files even if the PPI issue is not resolved and the IP then chases any reclaims.
Hi
Just to say that my husband and I are in the same position. I won't go into details about our nightmare (it's here somewhere on this forum) but we were told that our IVA had been accepted full and final payment in December 2012 following a variation meeting.
We are still awaiting our completion certificate and it will be exactly 84 months in July since we made our first payment in 2006.
Sorry to be the bearer of bad news...hope you hear something soon.
We have totally given up!
An IVA must have a definite proposed term when it was set up. It is usual for an IVA to be drafted on the basis of 60 monthly contributions but the term to be 72 months to allow for arrears/final administration. Once the term ends (72 months in the above example) then the IVA ends and the supervisor has problems in dealing with the IVA if they have not concluded it.
Check the terms of your IVA to see what the maximum term is (there may be a standard clause allowing limited extensions provided notifcation is sent), and check that your IVA has not been varied to extend the term. If you have passed the maximum period of the IVA contact your supervisor and ask on what authority they are keeping the IVA alive.
James Kaye and Nick Morgan, Insolvency Practitioners with over 30 years combined experience.
Hi
Our original contract (2006) states that: 4 'The duration of the arrangement shall not exceed 72 months'.
Also... 7 'The term of the arrangement is not to exceed 72 months as originally agreed by creditors'.
The last variation meeting in December 2012 was accepted with full and final settlement but the modifications stated that 'the term of the arrangement be extended by a period of 18 months to bring the arrangement to date and 6 months to administer closure of the arrangement.
I understood this extension was to take into account the time delay already accrued, and that the closure in 6 months would be June this year (2013)?
Still haven't received any reply from constant emails!
Regards
Could someone please explain to me if the extension of 18 months is added to the 72 months originally stated in our contract or added to the date of the actual variation meeting that took place in December 2012?
Either way this IVA is never ending! I am totally confused!
Looking at the wording you suggest it looks like your original term was 72 months, maximum, but your variation extended the term by 18 months. This would give you a maximum term of 90 months which is 7 and a half years from when you entered into the IVA. But it is unclear from the inforation above whether the extension sought in the varition is from the original date or from the date of the resolution of the variation. You should seek clarifiaction from your supervisor.
James Kaye and Nick Morgan, Insolvency Practitioners with over 30 years combined experience.
Thanks for the reply. As I stated before I understood the 18 months extension was to take into account the time already accrued bringing it to the F&F variation meeting (December 2012), plus the 6 months to enable closure, being June 2013.
I certainly hope that the 18 months hasn't been added to the resolution of the variation (December 2012). With the 6 months also to close the account (a total of 24 months), it will be December 2014!
I cannot see any justification at this stage for this delay and I certainly will be getting clarification from them again when they contact me (hopefully in the next few days as stated in the last email from customer services IVA Forum).
