www.iva.co.uk

Hi! My IVA has 32 months to go. I am 57 in July and I retire in 9 years time. Having a pension fund, I should receive about £40,000 as a lump sum. Would my creditors be willing to stop the IVA for this length of time with the assurance that the debt(s) will be paid off in full?

Hi,

I wouldn't have thought so, it is a long time to ask creditors to wait for payment.

Is there any reason why you don't want to contine on until the end? You're over halfway now.

Don't forget that your pension fund is there to help you with your retirement.

Hi
Can you access any of your pension now and offer a lump sum to clear your IVA early ?
Regards

Well I would never say never - but I would have to say probably extremely unlikely. Are you having difficulty meeting your IVA payments now?

Hi Melanie & Andy!
Yes I am having difficulty meeting current payments, to the extent that I have gotten behind rent and council tax payments. I have increased rent payments by £50 per month and the council have increased the council tax payments from £101 to £200 per month. I told all this to BE well before christmas but have not had word from them, so I cancelled the direct debit payment for december just so I can get through january without having to borrow from friends and family which is an embarrassment in itself.

Hi - that's some hike in council tax. I sympathise with your situation but would ask you to consider letting BE know you have had to stop the DD with your reasons. If you do this in writing you have a record and some level of protection against failing as the ball is firmly in their court to help you rectify the situation. Your IP should be able to reduce your payments by 15% immediately and then call a meeting of creditors if a further reduction is needed. Hope you can get this sorted and make up the arrears on your rent. Good luck x

That's one hell of a hike in Council Tax ---- have they put up your band (by several jumps) ?

I read it as they put up the payments because he was behind with the payments.
I hope BE sort this out for you an IVA should not be that tight, when they did your review was it not mentioned, can you put a new I &E form in to show the increased payments

Ah, right, Pandy -- I see what you mean. In that case it should only be a short term worry -- the councils ( at least mine does ) generally try not to carry debt from one financial year to the next, so this hike should see the council tax account up to date shortly ( fingers crossed).

A new I&E is definitely in order to get iva payments reduced to an affordable level. The op also needs to talk to his ip about whether he can clear post-iva debts in full as it would be showing preference to the detriment of his iva creditors. There will be a way to repay everybody, but the ip will need to advise.

How much are you currently required to pay into the IVA each month, bassetlaw?

Hi
It looks as if your payments are too high resulting in Council Tax arrears
You really need help from Blair Endersby in sorting this situation out.
Maybe a lum sum payment to end your IVA early ? or a reduction in payments so that you can catch up on the Council Tax and rent, both are priority payments over unsecured debts
Regards

Hi Melanie! Iam currently paying £654 to BE.

Its really important to talk to your IP and let them know everything that goes on, am sure this can be worked out, after all the hard work of getting this far you don't want to fail now. And once its all over with have a happy retirement with the money you have earned.

With such high a contribution, there ought to be plenty of room for you to negotiate reduced and affordable payments. I would have a chat with your IP, explain the current difficulties, and see what can be worked out.