New baby - new money worries

[paula.b]

Hi all,
Not been on here for quite a while. Just coming up to 2 years in our IVA, and although it has been tough, it has been do-able (just).
I had a baby back in June, and although he was long awaited for (3 years trying) I now feel I am back in the dark place I was when we first faced up to our debts.
I have been on a really good maternity pay scheme at work, but this month my money has gone down by £700. A big ouch. I have been in contact with my IP provider, and although I have provided new E&I's for while I am on maternity leave and then going back to work part-time from full time, our IVA payment has not been reviewed by creditors as yet.
I get paid tomorrow, my IVA payment comes out the day after, and 2 other payments come out of my salary. Because of the reduction in my salary, I am left with £200 to last us 2 weeks until my husband gets paid. This won't cover food shop/petrol etc. I am at my wits end.
I can't turn to friends and family for support. We have never told them of our financial situation. We are the highest earners out of our fr&fam, and probably the highest in debt, so I don't think there would be much tea & sympathy forthcoming.
I am so sad that I shoud be enjoying and embracing this time I have at home with my much wanted little one, but am endlessly worried about this.
Its not as though I have only just raised this with my IP. I told them of this situation with my salary months ago, and now I am here in a fix!
Any words of advice? Tea and sympathy would be just as welcome too!
Thanks!

[Skippy]

First of all congratulations on your new addition!

Personally (and this is just my personal opinion) I would reduce the standing order for your IVA payment this month. Putting food on the table and paying the bills needs to be your priority.

Speak to your IP and chase them about a variation as you can't continue to struggle like this. Have you spoken to your actual IP, or a member of their staff? If you can't speak to the IP then you can email them - you can find their email address on the Insolvency Service website - http://www.insolvency-service.co.uk/newipsearch.htm

This can be sorted out, so please don't let this spoil the precious time with your baby xxx

[paula.b]

Thanks Skippy! It has been an eye opener, as there is 9 years between my two boys - you forget how hard the broken nights etc are! Never again! LOL!!

Yes, I have been dealing with my account manager. She has said about a variation, but has not given any practical advice on how to manage until this has been put to my creditors (hope to goodness they accept)
If I changed my standing order, surely I would be in bother, as 3 missed payments and the IVA fails - or am I wrong?

The frustrating thing is that I have been in communication about this since January, and its only now my creditors are being approached. Any idea how long the process of a variation proposal takes?

In our current IVA our creditors are getting 59p in the £, as opposed to NIL if we had chosen bankruptcy, so I feel that there surely must be room for manouvre there? I know the idea is to pay back as much as possible, but I have seen many other proposals with a lot lower return.

I have been warned that my creditors are likely to ask for an extension to the term of the IVA, which is also a bitter pill to swallow, as the only thing that keeps me sane is the fact there it all would have been finished with by the time my little bubba is going to nursery!

Do you think I should contact my IP tomorrow to ask if I can reduce my standing order?

Thanks

[Skippy]

I would contact them tomorrow and tell them what you can afford this month. I would also ask them how much longer a variation is going to take as this does seem to be dragged out. They may ask you to make up what you don't miss this month, but by paying something you are showing willing rather than just not paying.

59p in the pound is a good return, and I do think you should have some room to vary the payments. I know it's not ideal if you have to extend your IVA, but it's better than struggling like this.

Hopefully one of the experts will be able to give you more advice xxx

[paula.b]

Hi,
Just a quickie update while my wee man is snoozing before his final feed tonight!

I did change my standing order today to give us another £250 to "play with".

I have informed my IP about this and I now think it has sunk in with them that I needed action way before now as I had been requesting. I have been promised it will be sorted, I'll keep you updated! Fingers, toes and everything else double crossed!
Thanks for your support.
Pxx

[Skippy]

Hopefully this will make your IP sit up and take notice.

Good luck, and let us know how you're getting on x

[debtmountain]

Hi Paula,..Congratulations on your recent addition and wishing you luck in getting your payments sorted with your IP...Virtual tea and sympathy are always available on here[;)] so keep in touch and let us all know how you get on...xx[:)]

[RooRoo]

Hiya

Congratulations on your new addition. Know exactly how you're feeling as our little bundle is 9 months now!
I'm in the process of applying for an IVA and advised my IP that we want to try for another baby in 3 years which would mean that i'll still be paying the IVA, she advised me that once she had completed a new I and E then she could go back to the creditors and request a payment break which would just extend then term of the IVA or go onto reduced payments.
I hope you manage to get everything sorted. Enjoy your baby and try not to worry too much!

R xxx

[kallis3]

Where have I been? Only just caught up with this one.

Congratulations on the new arrival and hope he continues to come on in leaps and bounds.

Hope you manage to get things sorted.