www.iva.co.uk

i've been in an iva for a while now and so far so good.i had debts of around £60k.i'm fortunate in so far as i've got an ok job,but because of my salary(even after monthly expenses)my dividend has worked out at 48%.my IP said it was a harsh ruling,but they were trying to recoup as much as possible.since the iva started i've had a few pay rises and had to up my contribtions.continuing at this rate my dividend will probably finishing up at around the 55-60% level.is this normal or am i being paranoid in thinking i'm paying too much back?bottom line,the whole process has been great and saved me a load of stress.

You can never pay "too much back" in an IVA - unless of course that you pay the debts in full plus statutory interest. Your creditors expect to share the fortune of you receiving increased earnings, and that is entirely fair. Just make sure that you can afford to pay the increased payments requested by your IP.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

Hi
It sometimes seems harsh to have to contribute any payrise into your IVA,and as Melanie states make sure that you are reveiwing your living costs when you get a pay rise.
However you can fully understand the creditors point of view because they will still be writing off a large part of your debt,however the plus side, as you stated, is that under an IVA you are able to stop worrying about creditors chasing you,also you have a fixed term to pay after which all your earned money is YOURS and you are debt free.
Its well worth the struggle.
Regards

Andy Davie
IVA.co.uk Spokesperson and site manager
(aka Neverending)

Please check out my blog: http://andydavie.blogs.iva.co.uk