www.iva.co.uk

Hi,

Back in May, I was made redundant and received a standard redundancy package. I am just over a year into my IVA and was in the process of carrying out my first yearly review. Because of my job loss, this was put on hold until I found work again.

I am now back in work, and have approx £1,500 left. Now I know this should really be paid into my IVA, but it would be nice to have a bit of money in reserve for when the car goes wrong etc.

If I do have to pay it back into the IVA, would it get paid in as a lump sum, or over a few months? And is my IVA company likely to ask for proof of what I have spent my money on, not that I really have any worries there.

Many thanks for any advice
Phil

Hi Phil,

Great news that you have another job. The money should be paid across to your IVA, but speak to your IP and see if you can keep some of it.

You should pay it over in a lump sum, if you don't then you might be tempted to spend it.

You are allowed to use redundancy money to fund your normal living whilst out of work, so I doubt if your IP will want to see proof what what you have spent it on.

Surely you have a car maintenance allowance to cover the cost of car repairs, which should be saved up on a monthly basis? I feel sure that your IP will want all of the money now, but do ring and ask because there might be some leeway to negotiate - especially if car repairs during the first year have been higher than originally budgeted.