Advice and help wanted

[Lydia]

I finished my IVA in April 2008 but I was 2 payments of £250 short. Then my IP told i needed to raise £10000 to finsh the IVA.
At the time I was employed as a truck driver. More or less at the same time I went in to hospital for what turned out to be 4 operations in 6 months. By the third operation my employer called me in to find out when i was coming back to work, i told him i didnt know because of the 4th operation and he sacked me (you can understand his point)
But because of my lack of earnings I couldnt get loan, my wife is registered disabled with multiple problems and the only money she gets is £960 per month and i earn £100 per month as a steward in a football stadium.
The other problem is that I have a post IVA tax bill of £4000.
My IP called a creditors meeting and (out of 30+creditors to the value of £46000) only 2 crediors to the value of £1100 returned their voting forms, saying they were voting for bankruptsy.

Last week when I was due to go to court for the bankruptsy hearing a family member came and offered me £10000 to pay my tax bill and to make an offer of £6000 as a full and final settlement( which he wants back . I went to court and the bench said that was a "fair and reasonable offer" and adjourned the case until the 12th April.
Now you've got all the details please can someone tell me what to do from here What do you think my IP would say

[Michael Peoples]

You should speak to your IP immediately because while the offer seems fine it is possible that the IVA has been terminated and there would be little that could be done.

If the £10,000 covers your share of the equity it may be better to proceed with the bankruptcy and let the relative deal with any Trustee in bankruptcy.

[Lydia]

Hi MP
the £10k is the whole amount to be given but £4k is for my post IVA tax bill which is overdue. personally i'd rather not go down the bk route as i would like to keep my house, besides i feel that would be unfair for my relative to get involved in a bk

[Michael Peoples]

If you are made bankrupt the bankruptcy would incorporate the balance remaining from the IVA and any new debts such the tax bill. Therefore I would be loathe to pay HMRC until the situation is resolved as it may be a waste of money. Do you know if the IP has actually terminated the arrangement or was he/she waiting the outcome of the bankruptcy hearing and how much equity is there in your property?

[Lydia]

Last week i phoned the ip and they said to ask for an ajournment withe the view to calling a creditors meeting ! ive got abt £%0k equity in my home

[Michael Peoples]

That sounds promising as the IP must not have terminated the IVA and your offer sounds very fair. Hopefully it will be accepted and more creditors will vote this time as it seems a shame to fail an IVA such as yours after all this time.

[Lydia]

sorry £50 K

[Michael Peoples]

I can see why bankruptcy is to be avoided but hopefully the variation will be accepted and then it will not be an issue.

[MelanieGiles]

Get the Court to direct that a meeting of creditors be called to consider your offer of settlement. In this case this is helpful for you and your IP, and you can then see what creditors make of the offer - which I feel sure in the current climate will be acceptable.

[Lydia]

Thanks Melanie but what shall I do about my post IVA tax bill of £4k for which i've got a ccj for shall I pay it straight away or what?

[MelanieGiles]

Yes - if you have the money available, get the post IVA arrears squared up as soon as possible.