3 years into IVA & pregnant......

[lilmc]

I've just found out that I'm pregnant, [:D] only just(approx 4 weeks), so due date is end of September/beginning October.

I'm 3 years into my IVA next month and with the wage slips I've just sent off for my last quarter reveiew I've explained my situation to my IVA company, so I'm waiting to hear what options they have for me

My original agreement was on debts of around £52k,
So agreement was set at £400 per month for 60 months, I had a AXA policy that I had to surrender with a vaule of £1051 too, so balance to pay back was set at £25,051.

To date I've paid in around £21'000 due to pay increases, overtime and bonuses I have received through work.

I'm going to be doing this alone, so I need to know what options are open to me with regards to my IVA, I'd hate for it to fail at this stage as I've taken great pride in coming this far with the IVA.

I would just like to be know what options are open to me before the IVA company come back to me.

Thanx in advance

[kallis3]

Firstly, congratulations.

Secondly, I don't think your IVA company or the creditors will be wanting it to fail now you are this far in.

As you have paid a substantial amount in, you could ask them if the creditors would be happy to settle for the amount you have paid, and thus finish the IVA. You may find that they are more than willing.

[lilmc]

Thanx Jan,

It's a pretty scary time at the minute, I just want to be fully informed of what all my options are so I'm prepared for the letter about what I can do with the IVA.

[Michael Peoples]

Hi Lilmc. Congratulations from me too and I totally agree with Jan. Given that you will have easily achieved the original dividend by the time you go on maternity it is highly likely that creditors would accept your contributions to date as full and final. However, I would look to try and close the IVA down much sooner than that to allow you to gather the necessary money for the baby's arrival. Creditors are normally sympathetic and it is in no one's interest to fail your IVA after 3 years. Let us know what your IP suggests and good luck.

[lilmc]

I'm hoping for a revised payment plan as I've got to get everything myself, so i'll be doing quite a bit of overtime over the next few months, but I guess I have to wait and see what my IP comes back with.
I've had nothing but professional service from them upto now, so I'm hoping they will look favourably at my case.

Thanx again for your support guys, this forum really is a godsend.

[Michael Peoples]

If creditors agree to a revised plan try and have the overtime modification removed. My wife is due in 2 months so I realise how expensive it is preparing for a baby's arrival never mind the costs after the baby has been born.

[lilmc]

This is certainly going to be a learning experience for me, I've been making a list already of all I need as really I only have 7 more pay days till little one arrives.

I'll keep you informed of what my IP says.

[lilmc]

Heard back from IP today, my options are;

1. Request a 6 month break from payments
2. Request a reduction in contributions
3. Request creditors accept funds paid to date
as full and final settlement
4. Terminate agreement without bankruptcy,
meaning crditors are free to pursue debts
again
5. Bankruptcy

I'm really reluctant to let the IVA fail at this point, as I've paid so much in to date, Would it be fair to contact my IP and ask if my payments to date could be put forward as a full and final?
If that isn't accepted can I then ask for a payment reduction?

Any help or feedback will be greatly received.

[kallis3]

I think I would ask that lilmc, it's one of the options put forward.

I would think that they would allow a payment break if not, but one of the IPs who post will be better placed to answer that and should be on at some time today.

[lilmc]

Thanks Jan, payment break would've been ok if I were returning to work full time, but I'll only be able to go back to work part time, I'll be relying on family members to babysit for the days I'll work anyway, so salary will be halved and I won't even be able to afford my monthly payments for my IVA.

I really would hate to fail at this stage, so I'm hoping that one of the IP's has experiance in this, I'm hoping that this does seem a fair proposition to put to my IP.

[David Mond]

I would ask your IP to go for a variation based on what you have paid in so far and indicate that you might not be going back into full time employment after confinement and for several months thereafter.

What you have paid in will give creditors a substancial percentage on what was originally offered - so go for it.

[Skippy]

I agree with Jan, I would definitely ask for the IVA to be completed with the payments you have made so far.

Good luck, please let us know how you get on, and congratulations about the baby xxx

[luluj]

Request full and final - you have done so well until now and creditors would be silly to push for more given your circumstances are changing significantly later in the year

[lilmc]

Letter has been posted this morning to my IP about requesting the creditors take what I've paid to date as settlement, fingers crossed I'll hear back from my IP by the end of the week.
Thanks to everyone fo their support and help, I'll keep you all informed of what happens.....

[lilmc]

Had letter back from IP this morning,
The more I can include as full and final payment the more chance I have of having it accepted, as he's going to submit it with my yearly check he does. He's asked to to put done how much I can realisticly afford until my august payment, at the moment I pay £400 a month and half of any bonus/overtime I get.
With me going on maternity leave in September is it fair to ask for the monthly contributions to be reduced to £200 and ask to keep all of any overtime or bonuses I get until then?
I really don't want the IVA to fail as I don't think I could handle the stresses of 3 years ago when I applied for the IVA, but I need to be able to save some money every month towards my new arrival.
Does the £200 reduction seem fair??