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Is it correct that payment breaks (up to three) can be added to the end of the arrangement ie ending in 63 months and not 60?

Our supervisor says that this cannot be done and arrears have to be paid back asap.............how can you pay arrears back when you have no extra money????

Hi gemini

It depends upon the wording of your actual IVA proposal, but I always allow this for my clients. At the end of the day, creditors want IVAs which actually return the dividend, not ones which fall over due to silly rules which you cannot comply with! Three months leeway seems to be the acceptable norm. If your arrears are more than this, then the IVA probably has little chance of running its course in any case.

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