I believe that with £66k of debt and £25k of income an IVA was the wrong route to take but I was persuaded and now have an IVA. Due to be made redundant 4 weeks ago and money rapidly running out I have decided to cash in one of my very small (£8k) pensions as despite apllying for nearly 150 jobs, I remain unemployed. I am seriously considering bankruptcy now as I have no intentiin of allowing an IVA firm that I think have acted badly from the outset, to take money I need to feed my bills & family.
The pension will be swallowed up by the IVA unless it was excluded.
Which company are you with? You need to speak to them and you might be able to take a payment holiday whilst you seek another job.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by Clive.06
Thanks Kallis3 but how do they know I've got the money?
These things have a habit of coming out of the woodwork. They might ask for bank statements on review and see unusual activity.
If you go BR the official receiver will look a lot more closely at your finances than your current IP and might also wonder where / what this money is.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Agree with Foggy - if you don't declare it then it could cause you some problems.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
hi just to pose a question of they are rapidly running out of money to feed family and pay nesscary bills how does the iva take precendence of the pension money if drawn down if it is needed for the family to keep paying bills etc .I thought an iva was a route to ease and help not wheres your money we want it all no matter what as in iva comes first no matter what , ive seen a lot of this type of postings on the forum over the years .if its a smooth five years great but once you hit a health problem or lose your job theres no compassion it seems . you cant get blood out of a stone nor drive people to stress and illness when its not their fault and things unfortunately go wrong for you.i was one of these people I lived at home with parents half my wages 338 a month was paid when my mum died and my pay dropped 150 a month I was still expected to pay the same my dad was a pensioner so it was tight finally but no the iva needed the 338 and dfd were b***** useless it was just keep paying so I eneded up on anti depreesants and the stress brought back eplilesy which ment time off work and nearly going onto half pay zo as far as I'm concerned case workers and ips need to listen and think before they act
It all depends on what it says in the paperwork. Some pensions are excluded others may not be but the IP needs to be kept in the loop.
If the I&E is set too high then it needs to be reviewed, and if necessary, the payments lowered. You should be able to manage in an IVA.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Hi Dawn -- a lot depends upon who you are with and, frankly, the attitude of your IP. Some firms are really creditor centric and DO try for blood from a stone .... this is really short sighted as it puts the whole IVA in jeopary going forward. Other firms will work with you to save the IVA, the creditors might get a little less in the end, but more than they would get if the arrangement went down the pan.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
hi know what you mean my iva finshed in 2011 and from what I see things have gotten worse I could have done with your and your colleagues advice then. its nice to think theres someone out there now to turn to.
I had problems in my own IVA when my income dropped (through a second causal job coming to an end) I was taking home £1,100 per month and paying £300 in an IVA, this dropped to £700 and I was told I still had to pay the same amount no matter what !! Luckily it only lasted two months and my second job re-hired again...But we get told to pay more if we get a windfall or a hefty pay - rise or bonus - but pay the same if our income drops - in some cases a reduction with the payments missed capped on the end. Its not fair but I have to say going on my IVA is best thing I ever did - although one of the hardest at times (to balance it out)If you earn the same throughout and your frugal with spending - they are a lot easier to manage...In an idea world that is what would happen to everyone - but it doesn't
Thanks for the comments, all much appreciated. I've decided to leave the pension alone as it will.probably be more useful later than now! As for my IVA, they have already shown they are totally committed to their fees and the creditors than us so I will most likely take a commission onky sales job and they can pick over the bones until something more permanent crops up. Their last comment to me was that my main obligation was to the IVA. Sorry, but my main obligation in this life is to my family, I expect there will be a battle ahead but I'll deal with it as and when it comes
You need to explain your change of circumstances to your IP and either get a payment break whilst you get back on your feet or reduce the payments accordingly.
I'm afraid it was not wise to cash in the pension. You will likely get to keep 6 months of the redundancy the rest will likely be due into the IVA.
If you are unable to find new employment within the 6 months then it might be best to put forward a variation to creditors asking them to accept payments to date in F&F rather than fail and enter BKY.
