Nothing strange about that Andy - just the very way IVA's were originally set up to work! I would always do separate IVA's if the minimum dividend was achievable in each estate.
I now understand the issue raised by the poster, and can see the point of your question. Your suggestion to split the dividend between the joint creditors now retrospectively will not work - unless you get their agreement at a variation meetin, and the view they are likely to take is "Why should we" if the other creditors are not being asked to accept a reduced dividend.
As you have to make a decision now, based upon a change of circumstances which is outside of your control, then I suggest you put an offer to the IP based upon what you could afford to raise. It is not unfair for the joint creditors to get two dividend cheques - this is the reason why many of the lenders do seek to lend money jointly - as they get the benefit of joint and several liability.
Sarah I think that you have every chance of success with all of your creditors accepting a reduced return - given the circumstances you describe. Good luck and let us know how you get on.
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
