www.iva.co.uk

I recently lost my job and we are now currently in a payment break from our IVA.
Myself and my husband are both in the break with our IVA's as we are now down to one wage with a mortgage and 3 kids!!!
Our question is this, Do we have to still pay the 50% on overtime my husband earns whilst in the payment break, we are struggling to get an answer form our case officer, all we are told is send in the slips and we will look at it, but this was a few weeks ago???

You raise interesting points that should have been addressed when the break was given. First of all any overtime earned before the payment break was granted should be dealt with under the terms of the IVA even if paid after the break was granted. However, you also need to show a bit of common sense.

If the overtime is only covering the loss of your wages there should be no uplift and regardless your IVA will likely have been extended to address the payment break.You could argue that a payment break is a break from all monthly contributions and once the break is over the IP can calculate any shortfall to the IVA which would then need to be introduced later.

I hope this makes sense but your case worker or IP may have a different view.

The payment break relieves you of making your regular monthly contributions - which presumably you have had difficulty making for some good reason. It does not negate your other responsibilities to the IVA, however if that overtime money is needed to supplement your already stretched budget, then I guess it could be waived with the IPs discretion.

As Michael says - common sense will generally provide the answer in most cases.