My patents have an iva, my dads lump sum pention is due to be paid soon, however they owe the money to myself as i lent it them . The iva is saying it will go direvt to them now! How do we stop this as the pension has to be paid into a bank account, will the iva people take the money from the account?
under the terms of the IVA the money is due in it's entirety. The choices are to pay the money in or fail - at which point with a large cash sum available the creditors would almost certainly petition for bankruptcy which would result in losing it all anyway.
The only way to prevent paying over the entire sum is to commit fraud - as any actions which would result in the money not being available to the IVA, or the official receiver in the case of bankruptcy, would be classed as criminal activity which could result in a jail sentence in the very worst case scenario.
Unfortunately your parents will have to pay up on this occasion.
As you are family you are expected to stand aside for the duration of the IVA and your parents are not permitted to pay you back at the expense of their other creditors until the IVA is finished.
This should have been discussed with your parents when they entered the IVA. Check the paperwork to see if the pension and it's proceeds were specifically excluded from the arrangement, which is sometimes the case.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
