I am coming to the end of my first year in an IVA with Stepchange. The company I work for are giving me an option to change from fortnightly pay to monthly pay.
The last fortnightly pay will be on the 26th March (6th to 19th March) and the first monthly pay will be on the 30th April. The first monthly payment will include 20th March to 30th April.
I thought this would be a great opportunity to make budgeting easier on a monthly basis given that all my bills come out monthly, allowing a very simple, i have x amount available at the end of the month. Currently on fortnightly pay i have to factor in the extra payment (3 payments per month twice a year) to carry me over those months i only get 2 payments a month. This makes it difficult to say I can put X amount away for that given month.
I've spoken to Stepchange today and they say that this first monthly payment will take me above my 10% threshold and i will need to pay 50% over this (bear in mind I wouldn't have had anything paid into my account between 26th March and 29th April). How is this fair? I will still get paid the same amount over the year. Apparently they don't see it that way because it is all based on monthly calculations.
Does anyone have any advice to get around this inflexibility? I am trying to simplify and take control of the debt, but Stepchange seem insistent that I would be better off sticking with fortnightly pay. I would be in a very difficult position if the company I work said it was just going to change to monthly pay without the option of sticking to fortnightly pay.
I asked for written confirmation by email about what he discussed and he clearly ignored the fact that we discussed about moving from fortnightly pay to monthly pay. He just re-clarified the rules regarding additional income and that if i wanted an annual threshold then this would require a meeting with the creditors which will take 6-8 weeks, by that time I would have already moved onto monthly pay.
Is it worth going through the complaints team?
There didn't seem to be issue when I informed them that I would get paid a day on new year's eve (rather than new year's day). Given their logic that would have taken me over the threshold by someway.