Overpayments

[Sadsack]

Hi All

I wonder if anyone has had any experience with overpaying on a monthly basis into their IVA. I was originally told that my monthly payment was £460 which I have done for the past 8 months. As my salary fluctuates, I have had a particularly bad month this month so paying the IVA was going to be a problem. I telephoned my supervisor and informed them of such, they called me back and told me that as I had being overpaying (should have been £435 per month) it is not necessary for me to worry, all I would have to pay is £95 this month.

I know that we all struggle to make ends meet every month, but it is a consideration to overpay on the odd occasion if you can afford to. Having overpaid as I did has left me feeling quite great as it is giving me a bit of freedom this month. Perhaps I will spoil myself today and go out and have my hair done!!

Sue

[Oliver]

For people that have fluctuating income overpaying some months and underpaying others is quite normal. Usually an average DI would be calculated which will mean that some months are overpaid and others underpaid.


Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[Adam Davies]

Well thats good to hear Sue.........It may be worth paying the extra when you can.
Regards

Andy Davie
IVA.co.uk Spokesperson and site manager
(aka Neverending)

Please check out my blog: http://andydavie.blogs.iva.co.uk

View my profile here:
http://www.iva.co.uk/andy_davie_profile.asp

[MelanieGiles]

Seems strange that you have been overpaying without knowing! How has this happened as a matter of interest - and were your payments to creditors actually modified down at the creditors meeting?

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

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Sadsack]

Hi Melanie

The IVA company that I am with has given so many mixed messages and the "goal posts" have been moved so many times that its no wonder that I am so confused.

I mentioned in one of my previous postings that my property has to be sold within the 1st year of the IVA and the release of equity amount has changed 4 times in the last 8 months. My original Standing Order was set up at £460 per month for 4 months, it then has to go up to £485 for 8 months, the house has to be sold and the payments would then go to £600 per month for the remaining 48 months. I have subsequently found out that I was only to pay £435 for 4 months, then £485, release equity and then £600. For the last 8 months I have been paying £460 with no communication from the IVA company unless I telephone them. This only came about due to this month being a particularly bad one financially. I have no idea whether this was modified down at the creditors meeting.

I strongly recommend to anyone entering an IVA should do so with their eyes wide open. "Shop" around the numerous IVA companies, particularly be cautious about not just signing up with the first person who claims to "have you debt free in 5 years". When someone is in debt and cannot see the wood for the trees, it is so easy to be blinded by the "don't worry" attitude projected by some. All one is seeking is a solution to the problem of debt and because some of these IVA companies are so unscrupulous, it seems to me they are just after a quick buck.

I apologise for my cynical attitude, but under the circumstances the whole IVA process has left me with a rather sour taste in my mouth. However, there is one thing that gets me through this on a daily basis is this forum. I am sorry I never found it before I entered my IVA with the the company I am presently with.

Sue

[MelanieGiles]

It is incredible to read the difficulties you are having with your IP! And I find it bizarre that your payment amount has fluctuated so widely. No wonder you are so confused. Are you prepared to name the firm for the benefit of other forum users?

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

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Sadsack]

Hi Mel

Yes I am very happy to name them - The Debt Advisor. If anyone out there is in the process of setting up an IVA with this company, please, please go through everything with a fine tooth comb, record your telephone conversations with them, make copious amounts of notes and "interrogate" them!!!

My biggest regret is that I was not aware of yourself prior to entering into this IVA with them!!! This whole process has been an absolute nightmare and quite frankly wish I had never gone down this road. I am seriously thinking of petitioning for BR but just do not have the guts to do it - age etc etc.

Regards
Sue

[Adam Davies]

Sadsack
Thanks for posting those details.
This is why a forum like this is much needed and your advice is spot on.
I went with the first company that a came accross and I would guess that the majority of people do the same.
In time,partly due to this forum,the overall standard of IVA proposals will improve and more importantly so will communication between IPs and debtors.
The indusrty is let down by companies that simply offer a poor service and its especially noticed once the IVA is in place.
Melanies standards in both service and professionalism should be the bench mark for all IPs.
Regards

Andy Davie
IVA.co.uk Spokesperson and site manager
(aka Neverending)

Please check out my blog: http://andydavie.blogs.iva.co.uk

View my profile here:
http://www.iva.co.uk/andy_davie_profile.asp

[Sadsack]

Hi Andy

I agree - being in debt causes all sorts of angst in ones life and when a company offers a "lifeline" we tend to grab it with both hands thinking that ones problems are over when in actual fact, they could only be just beginning. I sincerely hope that at some stage, sufficient complaints are registered with the FSA or Ombudsman regarding these unscrupulous companies. If this is done, perhaps legislation will restrict this "quick buck" cowboys from operating.

Regards
Sue

[tracy.h]

Hi Sadsack
I totaly agree with you i to had complications with the company that i went to.
If you read my previous posts then you will get an idea of the difficulties that occured through my iva journey.
The company that i used are a a reputeable company,and to be honest until the final stages of the iva i never had any complaints with there service.
I now urge people to always totaly understand what you are signing,and if modifications are added then dont feel pressured into excepting out of desperation just so your iva is excepted,make sure you understand them and if your monthly payments are increased that you really can afford the extra amount monthly as in an iva you dont normaly have spare income,everything is accounted for so this can end up with unrealistic payments and sees the failure of the iva as many posters have found out to there cost.
Thats why i now always advise posters to get the right ip as when they propose your iva they will put your best proposal forward,and yes even with the correct ip problems do still occur,and creditors meetings will be adjourned to address these issues and if the iva is viable it will be excepted.
Like you Sadsack i wish i had found this site before i started my iva journey, the expert advise that is offered is of a very high professional standard i agree Andy if all ip's met Melanies standards then peole wouldnt go far wrong.