Posted: Wed Jul 25, 2012 11:22 am
Can anyone help please?? Apart from the initial bond payment, does this have to be renewed during the term of the IVA? If so how often?[:(]
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Posted: Wed Jul 25, 2012 11:32 am
What's a bond payment?
Posted: Wed Jul 25, 2012 11:36 am
Not sure myself!!! I paid £19 I think it was at the start of my agreement for this, on my receipts and payments schedule it is down as further charges from my IP and I thought as I had already paid this it was a one off fee, need some advice to confirm if I should be paying further charge for this? It is not mentioned anywhere in my agreement so not sure if they can charge for this?
Posted: Wed Jul 25, 2012 12:35 pm
The bond payment is the insurance that IP's have to take out to effectively cover them running away with their clients money. This is a statutory requirement, with a one-off payment being made at the outset of the case. Some earlier cases are subject to annual renewals, but I think this process stopped around 3 years ago. If your case is one of these then the bond needs renewing annually.
Posted: Wed Jul 25, 2012 1:40 pm
Hi Melanie, yes mine was agreed in 2007 so probably one of the earlier ones. Is there a set rate for the renewal or does it vary with different IP firms?
Posted: Wed Jul 25, 2012 3:11 pm
It varies depending upon which insurer is used - there are three who provide this sort of cover, and is based upon the amount of contributions or assets coming into the arrangement.
Posted: Wed Jul 25, 2012 3:34 pm
I suppose that I can do nothing about that then but at least I know, I appear to be being charged lots of random amounts for various things that I knew nothing about, the annual receipts and payment schedules dont have this on and they have appeared on the last one. Looked like as I have now completed contributions they appear to be bumping up the fees that they can charge me for. Thanks again 