Modifications

[SharonR]

Hi All
I have read with interest about overtime and pay increases and how some pay 50% into their IVA while others may pay all or nothing.

My creditors meeting is on 6 December. I have been advised that it is up to the creditors to ask for overtime/pay rise contributions as a modification I presume.

At my creditors meeting do I get chance to agree or disagree for example to a modification of 100% of a payrise or overtime to be paid into the IVA or is it just included automatically.

Thanks

[Skipper]

Hi,
I am the one with a mod that saids 50% of extra income(also for Windfall)I can keep, however in the Proposal the IP had said if it is less than £500 the IP can decide not to distribute the lot as it is uneconomical.The worse case senario I lose 50%.

If your mod have no reference to extra pay outside winfall then it would all be I think down to negotiations.

"Always think outside the box"

[poppy84]

Ive got the same mod in mine about 50% of any extra income,over & above or something like that it states.
So does that mean i give over 50% of any wage rise or do i give all?Wasnt sure on this one,i was unsure if that just meant over time.
Windfalls says i must give all but nothing specific about wage rises.

[MelanieGiles]

You are the only one who can agree modifications on the day of the meeting, but failure to agree to the 50% uplift provision is likely to result in a rejection.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[SharonR]

Thanks for the replies.
I would not hesitate in agreeing to 50% of overtime etc being paid into the IVA. It just seems that some on the forum are having to pay 100% and I wondered if they had agreed to this at their meetings or if it had been added without their knowledge.

It would be nice to keep a bit of overtime or payrise money, although I do understand that the money is owed to the creditors.

If a creditor is asking for 100% clause at the meeting would I be able to negotiate?

Thanks

[Adam Davies]

Hi
I think that overtime is without exception 50/50 with the creditors.It is pay rises that cause alot of concern as many IVAs require that all of this is paid into the IVA.
It is a topic that has been heavily debated on this forum and my own personal view is that a pay rise should also be treated 50/50
regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp