What happens if you fall pregnant in an IVA?

[nadia.t]

What happens if you fall pregnant with the IVA time period? I am 27 years old and although I am not planning to have children at the moment 5 years is long time and I cant put my life on hold to have my first child until I am 32 years old.Would my payments be reduced and then the term extended or is the payment period 60 months even if there is a period for which you make reduced payments?

[Lisa2009]

If and when the time comes, it would be something you would need to discuss with your IP. It could be possible to reduce payments.

You are right to not want to put it off for 5 years.

[Lisa2009]

By the way, welcome to the forum xxxx

[pbeck]

You may be able to make reduced payments but this is by no means guaranteed as it would require 75% creditor approval to vary the terms of the IVA.

Whatever level of reduction is proposed it would still have to be a meaningful level of payments otherwise the creditors would just say no and your IVA would fail.

If you are not already in an IVA, then you should think carefully about whether you want to commit yourself to a 5-year payment plan. If it fails half way through then all the debts which were included in the IVA will be reborn and the creditors can start chasing you again.

[plasticdaft]

Check the iva smallprint under clause (16c),pregnancy whilst under an iva is not allowed.


Only joking,if it happens you need to inform your Ip asap to work out that to do next with regards to payments etc.

[Nadia]

OMG for before I scrolled down I thought that was a real clause.Thanks for your advice so far guys. Statutory maternity pay is only around £420 per month. I just really want to avoid going bankrupt and would hat to have paid into an IVA for them to make me bankrupt if they do not accept a lower payment. I know I am thinking ahead but I feel so nervous.

[MelanieGiles]

Lots of my clients have pregnancies throughout their IVAs, and I have never personally experienced the loss of a case as a result of such a happy event in a client's life.

What I do with my own clients is work out a future fundsflow statement which takes account of the loss of income due to maternity leave, but then takes account of the child benefit and tax credits you may be entitled to as well as the additional household costs relating to the little one.

If you intend to return to work in the future, this is also factored in - so creditors may be asked to accept reduced payments for a short period, which can then be increased again once you return to work - obviously providing for any childcare costs.

You cannot put your life on hold simply because you are in an IVA, and most people do manage to work through their repayment programme with the assistance of their IP and the understanding of the creditors.

If you do not intend to return to work, that could jeopardise the future of the IVA.

[tinytori]

Check the iva smallprint under clause (16c),pregnancy whilst under an iva is not allowed.


Only joking,if it happens you need to inform your Ip asap to work out that to do next with regards to payments etc.

b***** hell, u got me there for a min [:I]

We are thinking about another baby

[Nadia]

I would definately return to work even if it was at reduced hours.

Thanks for your advice. At least I know I dont have to put everything on hold until I am 32+.[:)]

Lots of my clients have pregnancies throughout their IVAs, and I have never personally experienced the loss of a case as a result of such a happy event in a client's life.

What I do with my own clients is work out a future fundsflow statement which takes account of the loss of income due to maternity leave, but then takes account of the child benefit and tax credits you may be entitled to as well as the additional household costs relating to the little one.

If you intend to return to work in the future, this is also factored in - so creditors may be asked to accept reduced payments for a short period, which can then be increased again once you return to work - obviously providing for any childcare costs.

You cannot put your life on hold simply because you are in an IVA, and most people do manage to work through their repayment programme with the assistance of their IP and the understanding of the creditors.

If you do not intend to return to work, that could jeopardise the future of the IVA.

[tori]

i am so glad that this subject was brought up as i have been too scared to ask about pregnancy in an iva.i don't know why i thought that i would be told having children whilst in an iva would not be allowed.silly really coz its human nature at the end of the day ! im 31 and really didnt fancy the thought of waiting till im 36 to start tryin 4 children.i suppose as long as the iva payments can be maintained then it wont be a problem.well,thats one less thing to worry about ! x [:)]

[pjackson]

Melanie makes a lot of sense. My experience is that most creditors are understanding as long as you show you are still trying to make available as much in repayments as you can, given your revised income and expenditure. The pitter patter of tiny feet should be a joy, not something to be feared. Good luck tori and nadia

[Viki.W]

Plasticdaft, I've just spat my water out reading your post![:D] X

[cat 1]

hope becoming pregnant isn't a predisposition to having an IVA with you Melanie?

[MelanieGiles]

Ooh I hope it isn't catching either!!!