Backdated Pay Increase

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Post by ValiantGal » Fri Nov 30, 2007 11:27 am
Hi all

I'm currently in the process of starting an IVA, should all go well I expect it to commence end of January. I do at present pay my creditors as part of a DMP.

I work for Local Government and we are going through job evaluation. This should all be sorted by April 2008! If my job is deemed to be underpaid and they increase my grading, the agreement is that they back pay to April 2007.

My question is as the IVA only would commence end of Jan, and they pay me back to April 07, would they want all of the backpay or could it be proportional from when my IVA commenced therefore only having 3 months of it?

On the otherhand if my pay decreases, will I be able to re-negotiate my I & E?

All this is sooo stressful, you keep thinking of various scenarios that may occur!


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Post by MelanieGiles » Fri Nov 30, 2007 6:12 pm
They will probably ask for 50%, assuming that you get caught with the 50% uplift ruling. Most IVAs these days also allow for contributions to be reduced by 15% without the need for a variation meeting, however you will need to demonstrate that this is due to a change of circumstances.

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

To have me propose an IVA for you, please visit:

See customer feedback at:
Regards, Melanie Giles, Insolvency Practitioner
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