www.iva.co.uk

Hiya,

This may sound silly, but in the iva and as per the proposal documentation, I haven't found any reference to what happens if your payments change during your arrangement, ie, a pay cut, with regards to the balance and dividend that you are planning to pay over.

I am aware that we inform our IP of our new i&e, but will the reduced amounts have to be paid after our 72 months is up, thereby increaseing our term ?

It will depend on whether your IVA includes a guaranteed minimum dividend for creditors. If its not in your paperwork ask your firm to clarify things in a letter or email,so you have a record of whats been said.

And nothing whatsoever about your question was silly!!

Paul

Some people have their term extended to make up for reduced monthly payments while other don't; the best person to advise you is your IP. x

If your IVA has been proposed using the IVA protocol you ought not to have to extend the term if you have to make reduced payments during the term - but as with all queries the answer lies very firmly in your own individually tailored proposal.

Seek guidance from your own IP if in any doubt on this matter.

Thanks again all for your hick replies.

I shall speak to my IP tomorrow to clarify.

Kindest regards

SJ