www.iva.co.uk

Hi all,
I am looking for your kind advice. I am well into my 5 year IVA that has about 20 months left to go. Until now i have been keeping up my payments religiously, but few months ago i've been made redundant. My redundancy payment wasn't great so i couldn't offer a final settlement one off payment.

I have just set myself up as a sole trader (i was employed previously) and for the next 12 months or so my income is looking to be about a quarter of my previous salary on which my IVA payments were based.

Does anyone have experience about getting IVA payments dramatically reduced and not failing IVA? On my new income i will be able to afford about a quarter of my agreed monthly payment. Does that mean that i stand to fail IVA and will be made bankrupt?

I am really worried, please help! I am more than half way through my IVA and am keen to complete it.

Thank you in advance!

Hi
Speak with your IP and talk through the options open to you. No one will want yoir IVA to fail.
Do you have a family member who may offer a lump sum as a full and final payment ?
Regards

thanks for your prompt response. No family member is able to help me at this time.. credit crunch seems to have touched almost everyone's lives. I am very hopeful that there is a solution satisfactory to all parties involved. Thanks again!

With a positive attitude such as that then I am sure your IP will be keen to help as much as he or she can. There will be options that you can consider but as your IP has detailed knowledge of your case then you would be wise to give him or her a call as soon as you can.

Regards.

Hi sbkm

It could be that reduced payments are accepted, maybe the term could be extended but do speak to your IP as they will be able to suggest options for you to help. As Andy said, they will be very interested to help you conclude the Arrangement satisfactorily.

Kind regards,

Hi Sbkm
As mentioned above, it is in no ones interest to allow an IVA to fail. Speaking to your IP as soon as possible is the first thing to do. Without knowing the details of your case I cannot say what the remedy is but I’m sure your IP will look into perhaps extending the arrangement.

Thanks

thanks all for your responses. I feel calmer now and will be in contact with my IP asap.

sbkm well done for going it alone, you should be commended for that,i,m sure your ip will be sypethetic towards your job situation and possibly call a variation meeting to reduce your payments and extend the length of your iva,good luck mate.

You could also look into arranging a payment break to tide you over this difficult period. Creditors may have to ratify this, but no-one will want to see your IVA fail through no fault of your own.