www.iva.co.uk

My IVA was approved on 31 January 2006. My first payment was taken out of my bank account in May 2006. I had sent off the standing order paperwork with the original request in december 2005. Late September 2006, I received a letter from IVA people to say I was in arrears due to not setting standing order up in time. It was then arranged for me to pay an extra 6 months to clear arrears. Since then, my payments have gone up another 2 hundred pound a month and the original arrears would be cleard off in 2 months of extra payments. What would be the general opinion of where I stand here. I myself think that it was their mistake not setting up the standing order in time as the only standing order form I have signed was back in december 2005, secondly with the payments in place now, the arrears would be cleared in 2 months. thank you in advance of your replys
Neil

Hi and welcome!! You need to ask your IP for a written statement of the amount outstanding and how they came to this figure. You are in control of standing orders though so if you were slow to increase the payments, they wouldn't accept fault on this. Let us know how you get on xx

The amount outstanding until an iva is closed is the total amount of debt. Nothing is written off until the end. Your payments have gone up due to an increase in disposable income I assume?

Paul

Sorry - I misread your post. If you were six months late starting you will be six months late finishing irrespective of how much those monthly payments are for. As P Daft says, you always owe the full amount so it will just realise a better return for your creditors. It would have been your responsibility to ensure the SO was set up promptly...did you mention at any time that your payments were not being collected or put them to one side?

To be honest, I left it to them. I assumed that once I signed the Standing order form and passed it to them, they would deal with it. As I mention, that was done at the outset when initially setting up the IVA. They had all the paperwork ready for once they had gone through the court.

Discuss it with your ip but not sure it will help.

Paul

I think you will have to bite the bullet and carry on for the full six months. As plasticdaft says, you are liable for the full amount of the debt until the end of the IVA so you will be able to pay back more to your creditors.

You haven't got long to go now.