www.iva.co.uk

Hi, I have competed 66 months of my IVA (Dont ask! it was extended by six months initially for me to find a job in order to make monthly payments, even though in that period they received a lot of PPI refunds from me). After failing to be able to remortgage against a small amount of shared equity release it seems I am being asked to make a further 12 months of payments. Is it fair and reasonable for my insolvency practitioner to ask me to now increase that monthly payment by 66% even though my my income and expenditure has barely changed over the last three years and had previously been agreed?

The amount of the 12 'extension payments' should be based on your disposable income, so presumably, close to your previous payments, unless you have had a rise in income or drop in expenses. Ask them what they have based the increase on.

Thanks for the reply. First I must say that my maths was incorrect, the increase is actually 200% or triple the amount I have been paying for 6 years. This happened following a complaint I raised when in April they said it needed to increase by 40%. There argument is that I must have inflated my living costs event though they have been the same since the start and agreed an a number of reviews. They are also saying I am arrears now as it should be applied from April onwards. I was told yesterday.

Ask them for specifics: What do they claim you have inflated and on what basis ? Presumably you can counter with proof of actual outgoings.

Do this in writing to your IP direct. Couch it in terms of a formal complaint which, in the absence of a satisfactory response, can be escalated to their regulatory body.

Thanks again for listening as I need to Vent!

Pretty much everything they had previously agreed and the creditors agreed in annual reviews. I also made a recent final offer to the creditors conclude the IVA albeit a small amount and based on being able borrow from family members and the IP refused point blank to put it to them. I still have good relations with excess of 75% of the creditors and I believe they would have accepted. Can I contact them directly if I notify the IP?

Sorry for all the questions but I am struggling to grasp why they are now being so unreasonable and trying to force me in to Bankruptcy.

The IP refusing to put your full and final offer forward is also grounds to complaint to their regulators. Who are you with? They sound horrendous !