i asked earlier about not doing the i&e annual review and got some replys, thanks for them, the reason i am not doing it is because i am earning more now than i was when i started the iva and am already paying 525 a month and dont want that figure to go up, so i was wondering if i just kept ignoring the annual letters requesting my i&e ( 3rd year now still not done one). would it be failed and if so would i owe my creditors the original amount or just what was left on the iva.
The object of an IVA is to pay back as much to your creditors as you possibly can, and if you are earning more now, you should be paying a proportion of that money across to the IVA.
Your IP will not be happy that you are ignoring their letters, and may well do what Michael said, and fail your IVA.
If this is the case, any monies you have paid across will be distributed to the creditors, less any fees to your IP. You would then be back to square one with creditor hassle and interest and charges being applied.
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 shaun
i wouldnt advise ignoring your ips letters.
although you may not want to give up the extra cash your ip would find out from looking at your p60. please dont jepordise your iva.
im so grateful for mine. i will do everything they need me to.
in the proposal you would have signed to say you would agree to yearly reviews. youre breaching your iva by not doing so.
think about the consequences
I must admit posters like this do upset me a bit because as we say the idea is to try and pay back as much as we can - this is our second chance!!! and if you do have extra money each month and it is not being eaten up by extra expenditure then you should pay it over. After all we borrowed the money in the first place and if you end up paying it all back (the whole amount) then surely that is not a bad thing
I'm surprised that the IP hasn't done something by now if this is his third one that he has missed.
I'd be interested to know if he has the 4th year clause, and if so, will he be remortgaging if he can?
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
im quite happy to give all i can from any extra i get.
theyve done me a big favour getting me this iva and im not going to muck around.
an iva is such an opportunity to wipe the slate clean why would anybody want it to mess up
If your IVA was failed you could be made bankrupt and subject to an income payments order for three more years which is longer than you have left on your IVA. Speak to your IP and reach an accommodation. Given your high payments and previous compliance your supervisor may give extra allowances. If your earnings have gone it is possible your outgoings have too. You may require a higher standard of dress, dry cleaning, entertaining, travel etc which may not have been necessary before. It would not be a good idea to fail the IVA as the debts would only have reduced by the amount of any dividends paid and interest and charges can start accruing again.
I dont own my home so the 4th year clause doesnt apply, I may have the means to pay my iva off soon, so i can hopefully avoid the next review. If not i think i better be honest this time. Since it will be the last year i just have to deal with it. Got away with it this long better not take the mick.
I think it's only fair that if you benefit from a payrise then so should your creditors. Afterall, they have agreed to write off a proportion of what you owe them.
If you are found out then you could ba made Bankrupt, have your IVA fail and be back to square one or have the IVA extended to gain back some of the payrise that you havent told them about.
Could I ask shaunds why he/she does not want to pay over more money to creditors, where it appears that you could afford to? If I were your IP I would be very disappointed with your view on this issue, and IVA would probably fail.
Fortunately I am blessed with a client base of very co-operative clients who recognise that they are privileged to have the ability to deal with unaffordable debts in a responsible manner, and we rarely get problems getting clients to return information to us.
Last edited by MelanieGiles on Wed Jan 28, 2009 10:56 pm, edited 1 time in total.
