My IVA was agreed yesterday, it's such a relief and I can't wait for the next 5 years to pass!
Today though at work I've had some news which has changed things slightly! There could be an offer of redundancy which would mean I could have enough money to pay the IVA in full in one go...and could have a bit left over to see me through till i get another job.
A lot has gone on in my life in the last 2 years and I'm not very happy at work and have been findin it hard to cope through depression. This could be a way out for me and I could get myself another lesser paid job with less responsilbility but would still give me enough money to live...without the debt.
So my question is, is it possible to make a one off payment offer in an IVA?
In my chairmans meeting notes it doesn't say anything about seeing proof of wages over the next 5 years, so maybe I could just put my redundancy into a bank account where the IVA money is then taken out of.
ANY advice would be great. I am obviously going to ring my case officer to seek their advice but I was hoping to get a heads up on here first.
Hi
Redundancy is paid for loss of office and is yours to use to live off until you find another job.The remaining balance will then be paid into your IVA as a windfall.
It is very important to speak with your IP,rather than your case worker.
Regards
If you don't, then you are allowed to use your redundancy money to fund you whilst you get another job, then the remainder has to be paid across to your IVA.
If you can pay if off, and still live ok, then I'd do that.
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
It is not guaranteed that creditors will accept the lower IVA figure for your debts.You are still liable for your full original debts whilst in an IVA.
If you find a similar paid job then you could pay your redundancy in and continue with monthly payments for five years.
If you find a lower paid job and effectively have little or no disposible income then your one off redundancy payment for the originally pledged dividend may be accepted as a full and final.
Do take advice asap
Regards
oh ok i get it...yeah I wouldn't want to give them a lump sum and then still have to pay a monthly figure, i may as well keep the money to make the monthly payments.
I'll give my IP a call tomorrow and see what they say.
Can I just make it clear that your redudancy money - whilst it is paid as compensation for loss of office, and therefore should be used to supplement your lost wages until you find alternative employment - is technically a windfall and will need to be paid into the IVA as well as ongoing contributions if your circumstances allow.
So using it to pay off the IVA will only be possible with the prior agreement of your creditors - and it is not right to assume that all you will have to do is to pay over the equivalent of the payments your originally pledged in full and final settlement.
If you are selected, or volunteer, for redundancy - you do need to discuss this with your IP - and have a duty to declare all windfall payments you receive whilst the IVA is in place.
