IVA Referral to life insurance broker

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jhonpaul12

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Post by jhonpaul12 » Tue Aug 13, 2019 10:04 am
Hi Iam in IVA and recently had a call regarding help decrease my monthly outgoings I got them in cheaper energy plan in which was great.They have also referred me to an insurance broker who has been looking at finding cheaper life insurance policies.And My question is that really should I have concerns about doing this. And the broker also wants to agree that the policy that i can remain the place for 4 years .Is there any one to give good advice .....

Foggy

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Post by Foggy » Tue Aug 13, 2019 10:36 am
Tue Aug 13, 2019 10:04 amjhonpaul12 wrote:
Hi Iam in IVA and recently had a call regarding help decrease my monthly outgoings I got them in cheaper energy plan in which was great.They have also referred me to an insurance broker who has been looking at finding cheaper life insurance policies.And My question is that really should I have concerns about doing this. And the broker also wants to agree that the policy that i can remain the place for 4 years .Is there any one to give good advice .....
In theory cheaper electricity bills and the like will increase your ability to pay slightly more into the IVA. Do you need life insurance ?

I imagine that you have been referred by your IVA provider for the main purpose of earning them a commission. Hopefully,in your terms and conditions with the IP (other than the standard IVA Ts&Cs), you have given them permission to share your details, otherwise they are in contravention of data protection regulations.

Personally I find this practice unprofessional, to say the least.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
http://foggy.blogs.iva.co.uk

abbiesmum2003

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Post by abbiesmum2003 » Tue Aug 13, 2019 8:24 pm
wow!
Theyve actually sent your details to other places deliberately to find you cheaper outgoings??
We simply gave details of our outgoings which as long as were fair were just accepted.
All this is going to do is like foggy has said is going to earn them
commission and increase your disposable income which in turn will be taken as the IVA payment!
Very very sneaky in my eyes! Like already asked did you give them
consent to share your details with all and sundry??

jhonpaul12

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Post by jhonpaul12 » Wed Aug 14, 2019 9:28 am
yes foggy as you have discussed that I need a life insurance if I take the life insurance with IVA what are the factors that include and how Much It helps to take while referring to an insurance broker who has been looking at finding cheap life insurance policies...

Foggy

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Post by Foggy » Wed Aug 14, 2019 10:30 am
It sounds like what they want is a policy to cover your IVA payments, should the worst happen. So, you would be looking for a fixed term insurance that ends when the IVA ends .... a bit like PPI !!! So -- tread carefully ! What you want might be very different !
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
http://foggy.blogs.iva.co.uk

jhonpaul12

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Post by jhonpaul12 » Thu Aug 15, 2019 7:31 am
Ok Is there any circumstances that to improve during the IVA and have to pay extra into the IVA with a lifeinsurance if it often 50% of a pay increase or whole of any money that can inherit or some of any PPI refund can get.

Foggy

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Post by Foggy » Thu Aug 15, 2019 9:23 am
Thu Aug 15, 2019 7:31 amjhonpaul12 wrote:
Ok Is there any circumstances that to improve during the IVA and have to pay extra into the IVA with a lifeinsurance if it often 50% of a pay increase or whole of any money that can inherit or some of any PPI refund can get.
Life insurance will not be paid into the IVA unless you die --- in which case it will not be your problem. If the payout is specifically to a nominated person ( wife, kids etc.) it will not be part of your estate and they will be allowed to keep the money -- BUT .. the debts will still need to be paid from your estate as the IVA ends on death.

I suspect the life insurance your IP is talking about is to protect the IVA only, so, if you die during the IVA, the regular payments are made to conclude the arrangement and all debts will be written off at that point.

During the IVA -- nothing to do with insurance --- you pay your regular monthly payments. If you have a pay rise those payments will increase by 50% of the pay increase. If you have overtime or bonus payments you will have to make additional payments ( on top of the regular ones) of about half the overtime or bonus. If you have a windfall ( lottery win or inheritance or something like that), assuming you have the usual clauses, you can keep it all if the total is under £500. If the windfall is over £500 you pay it all in to the IVA, on top of usual monthly payments.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
http://foggy.blogs.iva.co.uk

jhonpaul12

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Post by jhonpaul12 » Fri Aug 16, 2019 10:55 am
Ok but if a beneficiary is not specifically named in the will or if there is no will, termed beneficial nominees which includes parents, children or kids under the policy and is not there to receive the payout.if I dont have a overtime How I can take the the additional payments to overtime and the bonus. Is there any information related..

Foggy

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Post by Foggy » Fri Aug 16, 2019 11:34 am
The beneficiary of an insurance policy will be named in the policy --- the payment will go to the beneficiary named in the policy.

If the beneficiary is a wife, or child, for instance, the payout will go to them and be nothing to do with your estate.
If there is no named beneficiary the payment will go to you, or, more accurately, your estate and will then go towards any debt first, then to any surviving relatives according to either your will or according to distribution of estates without a will, if there is none.

I do not understand your question about overtime.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
http://foggy.blogs.iva.co.uk
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