Pension pay out?

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mrsmk

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Post by mrsmk » Tue Nov 10, 2009 3:58 pm
We finish our IVA on Oct 2013, but in May 2013 my husband will receive approx £40k payment for his army pension. Will the IVA company beable to touch this money?. Its very worrying as its only 5 months prior to the IVA ending.
 
 

Michael Peoples

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Post by Michael Peoples » Tue Nov 10, 2009 4:01 pm
The money would likely be a windfall if drawn down before the IVA is completed. However, your husband could defer the payment until after the IVA or offer a lump sum as full and final before May. If creditors agree to the settlement figure he could then draw down the funds.
Michael Peoples | McCambridge Duffy Insolvency Practitioners
http://www.mccambridgeduffy.com
If you would like to talk to me about proposing an IVA or have any questions at all please visit www.mccambridgeduffy.com
 
 

mrsmk

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Post by mrsmk » Tue Nov 10, 2009 4:09 pm
Unforunately there is no way we can delay the lump sum payment. In May 2013 we will have only £3000 remaining to pay on the IVA. Are they likely to accept this amount or demand more money as we now have £40k available? As its a pension does this still count as a windfall?
 
 

Michael Peoples

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Post by Michael Peoples » Tue Nov 10, 2009 4:29 pm
It would still count as a windfall but if your IP put a variaton to creditors that your husband was to draw down his pension and pay enough to achieve the original dividend it would probably be accepted. The alternative would be a full and final settlement now if you were able to source third party funds. This could then be repaid next year.
Michael Peoples | McCambridge Duffy Insolvency Practitioners
http://www.mccambridgeduffy.com
If you would like to talk to me about proposing an IVA or have any questions at all please visit www.mccambridgeduffy.com
 
 

MelanieGiles

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Post by MelanieGiles » Wed Nov 11, 2009 12:49 am
It would be very difficult to defer the payment if your husband has reached the 22 year point and not decided to ETR.

What a shame this was not forseen when your IVA propsals were first presented, and this sum specifically excluded. That money will be needed to resettle your husband into civilian life and to provide housing for your family. Were you aware of the timing of this payment when you entered into the IVA?
Regards, Melanie Giles, Insolvency Practitioner
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