Council tax collections, and the powers available to a rating authority, are often different to HMRC rules under their own constitution. I suggest that the poster tries to get details from the Council of the new legislation they are referring to, so that we can all benefit from some newly gained wisdom, or that they leave it up to their own IP to sort out.
Hi everyone,
Yet again today i have received a letter from Dudley council which states the following,
"Dear Mr ########
I refer to your phone call to my office today regarding the recovery of your housing benefit overpayment.
I have been asked if the recovery of this debt can be suspended until you have resolved the matter with your IVA company.
Unfortunately i am unable to do so because the housing benefit overpayment should have never been included in your individual voluntary arrangement and the IVA company should be aware of this .
You will need to contact them directly to have this removed from your re payment plan with them
I hope this settles your enquiry"
What have i heard from payplan - nothing
Do i know whether i should pay this - No
Is my IVA valid ? - who knows
i never speak to my IP its just someone on a switchboard who forwards messages.
This is all beginning to annoy me profusely, when i asked the person i spoke to if my IVA could be lowered to £100 per month from £118 ( i voluntarily offered a little more )They said NO that cant be done. When apparently they can lower your payments by 15% quite easily.
Maybe i will just stop paying everyone soon and go to court with it all, I'm really beginning to regret taking this IVA out - its becoming a nightmare.
My wife is ill and stressed beyond belief etc.
I believe the council may well be correct. It depends on the timing and a number of other factors which I think are determined by Birmingham City Council versus Steele. You need to speak to Payplan and get them to sort this out. The easiest way would be for you to have a six month break to clear the debt but I would not expect you to have to suffer an extension because of this.
A variation will likely need called but urgently speak to your IP.
Hi Cryptic 1973 I can imagine it is stressful as you're trapped in the middle and getting no answers. Push to get to speak with an IP as this is not satisfactory in a situation like this. Hopefully someone from Payplan will come on the pick this up to address separately.
Regards, Tina Shortland, Debt Advisory Manager for Melanie Giles at Debt Advice TV.
If you’re looking for effective debt related information, articles and news, then go now to our on-line advice service at www.debtadvicetv.com
If you’re ready to ask us for specific advice or help, then get in touch at www.call-me.debtadvicetv.com so you can start to free yourself from the stress and anxiety of overwhelming debt.
Did not realise that this related to housing benefit overpayment - as it seemed to be suggested that this related to unpaid council tax. I agree that the case which Michael is referring to is probably relevant - but better dealt with by your own IP directly.
Hi,
Would any of you IVA experts be able to say what could happen from here ? As regards my IVA being incorrect etc , what options will be available to me as i would have to pay the council directly etc which will obviously put a strain on me financially .
Hi Michael,
That would be very useful but i would hate to use my break time now and find i need it in the future ( bearing in mind none of this is my fault )unless payplan come to some kind of arrangement with me.
You can have as many payment breaks as you need in an IVA and it is not just restricted to one. You need one now and until this is resolved you are exposed.
Speak to the IP directly as this needs to be sorted out otherwise your IVA could fail if for example Dudley go for an attachment of earnings.
Hi Cryptic - this is exactly the type of situation why payments breaks exist. Far better to have one to get things back on track than struggle.
Regards, Tina Shortland, Debt Advisory Manager for Melanie Giles at Debt Advice TV.
If you’re looking for effective debt related information, articles and news, then go now to our on-line advice service at www.debtadvicetv.com
If you’re ready to ask us for specific advice or help, then get in touch at www.call-me.debtadvicetv.com so you can start to free yourself from the stress and anxiety of overwhelming debt.
Hi Tina,
I wasn't aware i could have multiple holidays if necessary, if so then i will obviously take one. I do however remember them ( payplan ) mentioning i could only take one holiday. Please bear in mind i am only 7 months in to my iva and would hate to have a circumstance in the future where i need a holiday and they say no because ive already used it.
Ok so believe it or not everyone i am still in exactly the same boat after all this time, IE threatening letters /phone calls from the council who have been taking the overpayment from my rent and now i am in rent arrears, and little or no contact from payplan even though i racked up an extra £10 on my phone bill from calling them last month as the email client on their site doesnt work properly.
my wife is on the verge of a nervous breakdown and i must admit i am rather stressed myself. I am waiting for a call from straighttalkdebt.com today concerning going bankrupt as i cannot deal with the stress any longer. Obviously i still dont have an answer as to whether the council are correct or payplan are, either way the whole thing is a complete farce and my family are stuck in the middle of it!
Hopefully PayplanSamuel - the Payplan representative who posts occasionally on the forum will pick up on this post and attempt to intervene. I am sure they will not want to lose you as a client, and this seems a fairly simple matter to resolve.
Hi again,
i have requested to speak directly to my IP who was apparently out of the office yesterday, payplan are saying they will set up a meeting.
Payplan have also said they are now looking at a payment holiday which will then extend the IVA by 6 months, sorry if i am wrong but that just doesnt seem very fair to me! i will have to pay the iva for an extra 6 months and pay the council back in full! especially when i opted to give slightly more than the minimum IVA offering of £100 to begin with , bear in mind i only work part time.
I am at this point seriously considering defaulting on the IVA unless my IP is a very reasonable person. I just dont see why i should end up suffering because they have made an error/done a bad job of the IVA.
Hi Cryptic. Please think long and hard before failing your IVA --- remember what brought you to an IVA in the first place -- the stress and hassle of creditors and constant juggling to make ends meet: That will all start again, and will be worse, as missed interest and possibly late payment charges will be added on to the original debt.
6 months, in the grand scheme of things, although a pain, has got to be worth getting everything settled, once and for all, hasn't it ?
An IVA isn't an easy ride and there will be glitches along the way --- but, at the end, you are likely to be having a good chunk of your debt written off and will have been saved paying a fair chunk in interest. You will be coming out on top !
No-one can tell you what to do, you must weigh up what is best in the long run -- but DO consider the bigger picture.
Good luck with whatever route you choose.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
