Final year of an Iva but also have arrears

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by beverley385 » Thu Sep 28, 2017 4:43 pm
I am in final year of an Iva but also have arrears as been making reduced payments . Even with Making reduced payments I can’t maintain these . My case officer has asked if anyone can pay Iva off for me but I have no one who I could ask . They have said they have to arrange a meeting what can be done I don’t want to go bankrupt.
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by Foggy » Thu Sep 28, 2017 4:58 pm
How much are the payments now and how much were they at the beginning and how much do you feel you can afford ? How many payments do you have left ?

Why do you feel you cannot manage these payments?

Sorry for all the questions !

It might be possible to ask for an extension to cover the shortfall (if, indeed, there is one).
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by MerlinL14 » Thu Sep 28, 2017 5:15 pm
Having a dialogue is a good thing and is important, sometimes though you need to speak directly with your IP rather than a case manager, who may not have the definitive solution and is making an 'educated guess' at a solution they see as a way forward. See if you can have a conversation with your IP directly. Keep the dialogue going though as these things will not just go away.
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Keith White
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by Keith White » Thu Sep 28, 2017 5:22 pm
Its a tough time for you and I'm sorry as you near the end of the IVA - things aren't more positive. Clearly you have to maintain priority payments - rent/mortgage, council tax, food, travel if needed to get to work. If yo literally cannot afford to pay anything more into the IVA, you will simply have to wait for the decision of your IVA company. Is there a particular reason why you don't want to go bankrupt? If the outstanding debt is less than £20,000 perhaps a Debt Relief Order is an option. But lets hope your IVA company comes back with some ideas.
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by sheraz.butt » Thu Sep 28, 2017 9:01 pm
Variation meetings can be held if someones situation changes within the IVA in terms of affordability. The minimum can be quite low. If your affordability is now very low, it doesn't give you much option it seems to pay anything towards the IVA so looking at Bankruptcy or DRO as Keith said if debt is less than £20k could get you out of the situation. See what your IP/case manager comes back with and ask them what other options/solution you have available.

Hope everything works out within your current IVA.
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Michael Peoples
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by Michael Peoples » Fri Sep 29, 2017 10:56 am
Being so near the end I see no benefit in the IVA failing. I suggest you do an up to date income and expenditure and if you cannot afford any money now creditors may accept what has paid as full and final settlement. This could be the best option all round.
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