what happens if i default on my iva agreement

[jimmy.s]

what happens if i default on my iva agreement i have just been asked to pay 700pound before my 2nd year is up due to what i earned extra in my 1st year and there is no way i can afford to pay this by then i have a 2year old daughter the company i have the iva with is blair endersby.many thanks

[Skippy]

Hi Jimmy and welcome to the forum. Have you asked your IP if it would be possible to either make extra payments at the end of your IVA, or to pay a bit extra each month to cover the £700? It would definitely be worth speaking to him / her as it seems a shame for your IVA to fail because of this.

If you default on your IVA your IP will terminate your IVA (I'm not sure how as mine still hasn't done this after 4 missed payments!) and you will be back to square one and will need to consider either a DMP or bankruptcy.


Yesterday is history, tomorrow is a mystery, today is the present - a gift to make the most of.

View my blog at http://skippy13.blogs.iva.co.uk/

[hallway]

I too am with Blair Endersby and so fair have found them great,i have to send my wageslips off every 3 months and they workout half of any overtime i do and i have to send them it,i am currently waiting for them to tell me how much i owe them, i spoke to a lovely lady last week and she said it wouldnt be a problem if i didnt have the money(thankgod i have been saving it) i could pay by instalments hope im not going to have problems too.

[MelanieGiles]

It is unlikely that your IP will fail your arrangement for not paying over the 50% uplift monies, but do be more careful next year and make sure that this is put to one side. Better still pay it over every month to avoid being in a similar situation next year.

The unpaid monies can probably be tagged onto the end of the IVA, but you will be unlikely to be offered this option in the future.

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

[wardog]

hi myself and my hysband have an iva this has been for a year now. we are trying to remortage as i have been out of work for over a year we have been told by our iva company that we have to have permission from our creditors in order to do this. I would like to know if this is right or if the supervisor from the iva company can give the permission. we have already been refused by some of the creditors and now have been told we have to wait for another month! I am worried as we will struggle to pay the iva if we can not have this remortage on the say so of the creditors. Could someone please help and let us know if we do need their permission.Getting this remortage will help we have also stated that we will pay a lump sum toward the iva
many thanks
sam and rich

[MelanieGiles]

I think that what your IP means is that a revised offer sourced from a remortgage would need the decision of your creditors at a newly convened creditors meeting. Your IP will need to give permission for you to apply for a re-mortgage, and the monies should not be drawn down until your creditors have agreed to the revised deal.

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