www.iva.co.uk

I took out an IVA in 2008 and paid all my monthly payments without fail. When i got towards the end of my IVA the provider said i owed approximately 6000 in underpayments. I asked them for a breakdown and they said that debt had started accruing after the 2nd year. The full nature of accruing this underpayment was not explained to me at the annual reviews and i did not realise that the amount was building up year on year. I do undertand that if our wages were too high we had to pay a percentage back, but it was never really explained that even though the amount we paid each month was going up this was not clearing this building debt. I went into an IVA to clear myself of debt, which i thought after 5 years would be settled and no more payments to make. I have been told this debt is now around £3,400, but could change. They have informed me that i now have a six month extension to my IVA, but i am expected to again pay this off within a year. As i have an IVA i, quite rightly, can't take out a loan to pay off this underpayment, but the IVA company want me to pay out about £400 a month, so i feel like i am paying out a lot of money for at least another year. I was just beginning to enjoy the fact that i didn't have an IVA payment every month. No money has been asked for since i stopped paying out monthly payments about a year ago! As i said i thought after 5 years i would be debt free, now i find out i owe money again! I have often sent off my payslips to the company and had them returned with one of their letters, then they write and tell me they have not had my payslips. My wage goes into a linked bank account every month and my husband wage every week. i have given them permission to get the amount paid into my bank, yet again. The reason why people end up with an IVA is the fact that they cannot manage money well and there is no support throughout the five years to deal with underpayments or any aspect of the IVA you have a query about.

I feel for you Jill, I also have experienced similar things on my journey. The IVA companies seem to expect you to know exactly how things work and to always know when you owe more money etc.

I think the supervision needs to be much better as often you think all is well only to receive a curt email or letter stating that you actually owe more.

I cant wait to be rid of mine, the insolvency companies really don't help you out other than at the start to get your business. After that it's all one-way traffic and it never goes the way of the debtor.

Did it not say the arrears on your annual review report? Ours said something like we had met obligations except when hubby had arrears. We do have emails confirming arrears and how they would be repaid. I also have email confirming final balance payment.

Stories like this are a worry irrespective of how much confidence I have in cleardebt! I have returned forms re future ppi and am hoping for speedy conclusion without any of these surprises!!

Who are you with Jill??

Hi
We are due to finish ours soon and after hearing many stories like yours recently I feel really worried about what tricks our IVA company will have up their sleeve??

I was horrified by this!!

"About £3,400 but could change"?!

That sounds like something a loan-shark would say not an insolvency practitioner...

Either they know how much you owe or they don't.

I'd be demanding a full and comprehensive breakdown showing all figures and calculations from day 1 right now.

I am dismayed by how some IVA companies seem to treat their clients.

My IP is Melanie Giles and I have to say that everything has been clearly and repeatedly explained all the way through. Month to month I don't really need much communication, but any time I email or call they respond quickly and are friendly and very helpful.

So for anyone considering an IVA who might be reading this - not all IVA companies are the same!