Lump sum received while in Iva

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julie815
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by julie815 » Thu Apr 26, 2018 2:46 pm
I am possibly due to receive an equal pay claim lump sum.I am with an iva company and want to know if I can offer this windfall,if substantial enough,as my settlement to the iva/creditors without having to continue with my monthly payments or will it just be taken by them anyway without it making any difference to how much I owe?
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Foggy
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by Foggy » Thu Apr 26, 2018 3:14 pm
It is very likely to be due to the IVA anyway, under the windfall clause, so the creditors are unlikely to want to negotiate with something that is already theirs. It will not reduce the payments or the term but will increase the amount of the original debt you are able to repay.
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dawn20
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by dawn20 » Thu Apr 26, 2018 6:24 pm
Hi foggy regarding an equal pay claim this is money owed by employer because they did not pay u the correct hourly rate for x amount of years so u are only received back pay which I thought would fall under the 10//50/50 rule because if u had been paid correctly then Ur monthly payments would go up accordingly therefore how can it be a windfall and all into the IVA that's seems unfair it's not an inheritance or a lottery winner but a person finally being paid the correct moment for their work the back pay would lump sum would cover the years of underpayment and as such should be treated on a year by year increase that's unfortunately taken too long by employers to finally pay hard working people I realise while in an IVA u want to pay your restores back but to take it all I would have issues and and argument with
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Foggy
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by Foggy » Thu Apr 26, 2018 6:33 pm
dawn20 wrote:
Hi foggy regarding an equal pay claim this is money owed by employer because they did not pay u the correct hourly rate for x amount of years so u are only received back pay which I thought would fall under the 10//50/50 rule because if u had been paid correctly then Ur monthly payments would go up accordingly therefore how can it be a windfall and all into the IVA that's seems unfair it's not an inheritance or a lottery winner but a person finally being paid the correct moment for their work the back pay would lump sum would cover the years of underpayment and as such should be treated on a year by year increase that's unfortunately taken too long by employers to finally pay hard working people I realise while in an IVA u want to pay your restores back but to take it all I would have issues and and argument with



I appreciate where you are coming from but, at the end of the day you are repaying a debt and the creditors are agreeing to write off anything unpaid at the end. In return you have undertaken to repay as much as possible. It could also be argued that, had you been paid at the correct rate for all of those years you would not be in debt in the first place ! If the IP requires it to be paid in you would need to take the matter to court for a definitive ruling.
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