IPs have absolutely no control over their clients changed circumstances - here Jackie reports that her children have left home and presumably she has lost either benefits of board and lodge money. I would find it difficult to see why an IP would get "black mark" in such circumstances if a case like this eventually had to be terminated.
We do not have crystal balls when we put forward proposals for clients, and some cases will inevitably fail or have to be varied - I estimate that this happens to 5% of my own clients in my practice. "Black marks" are awarded to IPs by their regulatory bodies, who put their names behine proposals which have no hope of completion, either by including inappropriate income and expenditure levels, or simply the IP not fully researching the case appropriately prior to sign off or having any direct liaison with their client.
But I do agree with Ian that the sooner you advise the Supervisor of an issue the sooner that issue can be resolved. You should ask your IP whether there is any possibility in his/her view that creditors would agree to accept lower contributions, and you ought to have a revised income and expenditure statement prepared prior to your chat. It would help if this could be e-mailed to the IP in advance so that they can advice you properly.
And on the subject of the car, I agree with Andy. A good robust argument with the OR if they attempt to grab it for the benefit of the estate ought to do the trick.
Let us know how you get on with your IP.
Regards, Melanie Giles, Insolvency Practitioner
