www.iva.co.uk

can i have any saveing or save any money up whilst on a iva?

No, every pence will go towards your IVA believe me.
If your IP sees (and s/he will)that you have extra money it will go to your creditors. Read the boards my friend being on a very tight budget is NOT easy. Some people end up filing for bankruptcy because of the financial constraints imposed. Even your overtime and bonuses you will give 50% to your creditors. An IVA is not to be entered into lightly.
It is a serious undertaken for 60-72 months of you and your family's life.

Good luck.

All I have left is my humour.

Hello,

DebtDummy is right. For some people their financial circumstances may significantly improve during the five year period of an IVA. Most IVAs will include standard terms to deal with windfalls, bonuses and pay rises.

As a guideline the creditors will require that 50% of these that occur during the period must be contributed to the IVA.

The Supervisor will undertake an annual income and expenditure review to ensure the monthly payments still reflect your surplus income.

You should keep the Supervisor informed of any changes during your IVA.

Kind regards,


Julia


For more information about IVAs, please visit my website:
www.supersonicsquirrel.net

If you have any liquid assets i.e. savings, then your creditors are likely to expect that these monies are paid towards them through your IVA. You are unlikely to be allowed a budget in your monthly expenditure for paying into a savings account as I can't see your creditors ever agreeing to this. You may have certain budgets such as medical and dental costs, clothing or car maintenance etc... that you find you don't use your complete monthly allocation. I would suggest that these monies are put aside in case of a rainy day.


Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

Larsam

It is correct to say that while you are in an IVA, you can not just save for savings sake. As Debtdummy says, you will not be allowed to include a budget within your IVA expenditures for savings.

However, normally, if you can manage to save from your agreed monthly expenditures (perhaps by being extra prudent), then you will not be expected to hand this over to your creditors. It will be seen a prudent living.

It is quite normal for people in IVAs to have a small savings account because there are expenditures which have to be budgeted for which may actually only come around annually (eg car insurance). You will have to budget (or save) for this throughout the year to be able to afford the premium when the time comes.

James Falla

Expert in IVA, Bankruptcy and informal Debt Management solutions, with extensive experience of solving personal debt problems over the past 10 years. I am regularly featured on BBC News, Finance Programs and Radio.

Visit my blog at: http://jamesfalla.blogs.iva.co.uk