Yearly Bonus

[Qikichi]

Hi,

This is my first time posting so I hope I get this right.

I have a question reagrding my IVA and a bonus I received last month. I normally pay half my bonus to my IVA but last month I could not. My flat mate has been signed off sick since June last year and during that time the letting agents were changed but we recieved no notification. The problem we have now is that my flat mate is trying to get back pay for half of the rent for the months of June to December 2006. The landlord and new letting agent were threating action if this wasn't paid back. I agreed that I would use my bonus to clear the majority of these arrears. Currently there is still around £400 owing. My flat mate is still trying to claim this back pay from the council. She has been attempting this since September and it's been on error after another by the council.

My question is: Because I have not paid half of my bonus will this been seen as a default? I fully intend to pay it once the money is paid back and if not I will find another way.

My IVA is due to be reassessed and I want to explain it to my IP but I'm unsure what the reaction will be. Even without this bonus I will be paying back the full 100% as I have had 2 payrises in the two years I've been on this.

I have letters from my landlord threatening legal action and a letter in March confirming the payments made and how much is stil o/s.

Sorry if it's long winded.

[Oliver]

I think that this should be fine. The only thing I would have suggested is that you contacted your IP before you paid this, but that didn't happen so there is no point dwelling on it.

Contact your IP asap and explain what is happening. Once your flate mate receives their money you can pay 50% of your bonus into the IVA.

Best Regards
Oliver

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

[Qikichi]

Thanks for such a prompt reply.

I've been reading this board for about a week now and the advice and community spirit has been excellant. It's so good to know there are people in the same boat as me.

As there is still £400 oustanding on our rent would I be allowed to pay that back when I get paid in May and tack that on to the amount I would pay when my flat mate gets reimbursed?

[Skippy]

Hi Qikichi and welcome to the forum. You really do need to speak to your IP about the situation. I think they should be understanding as the you did this to keep a roof over your head and you are fully intending to pay the money into your IVA - with any luck they will show some common sense!

Good luck and let us know how you get on.

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/

[Oliver]

You’re welcome, glad you are finding the board useful. I think it would be a reasonable request. Remember that your IP is working on behalf of you and your creditors so it is very important to keep a good dialogue up.

Best Regards
Oliver

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

[Qikichi]

There is still £400 oustanding for rent so would I be able to pay this using next months pay and then pay this back on top of my bonus when my flat mate gets reimbursed?

Once reasessed I will probably be paying back my unsecured debt plus IP fees before my 5 years have passed. Can I then be charged interest?

[iva experts]

Hello and Welcome Qikichi,

I agree with all who have posted, I believe the forward in this instance is to contact your supervisor (insolvency practitioner) as soon as possible.

Hope this information is of use

Regards. IVA Experts

[Qikichi]

I have already conctacted them as I have never been reassessed properly and by reading this forum I thought I had better contact them. I am sending a letter today and just wanted a heads up on how this might be viewed.

Thanks for all your advice.

[MelanieGiles]

Yes - the advice you have been given is correct, but do be sure to talk to your IP firstly before doing anything like this again. As a practicing IP, all we ask is that our clients maintain a line of dialogue with us, so that we are able to guide and steer when you run into problems. Always feel that you can talk to your IP at any time.

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