How likely is it creditors will accept reduced IVA payments

[Kate.w]

Ok so I’ve been in an IVA for over 4 years and it is due to end in May 2021. Due to circumstances this year I have only been paying £150.00 per month instead of the usual £300. I have kept the IVA company fully inform of my circumstances and have completed a I&E review, I have spoken to them today and they have advised me that I could afford payments of £230 per month. This variation would have to be agreed by my creditors and I have a telephone meeting with the IVA Company on Thursday. My question is how likely are my creditors to agree to this and if they don’t agree what will happen. Many thanks

[Foggy]

This is an impossible question to answer as much will depend on the actual circumstances causing the change as well as creditor thinking on the day.

As to what could happen .... again hard to predict. They could fail the IVA. They could renegotiate another figure or extend the term.

I would say there is a good chance they will accept reduced payments, again, depending on the circumstances.

Good luck.

[luluj]

Fingers crossed they accept the offer for you - just one little niggling thought - this will mean iva extension to ensure the original agreed minimum return is made so be sure that is acceptable for you too ...

[Lisa Thomas]

It is impossible to predict how creditors will vote, sorry.

Bear in mind that the variation, if accepted, could still mean you have been accruing arrears of c£80 per month from when your payments reduced to £150.