Do you own any property/assets?
Perhaps the IP can call a variation meeting proposing to either reduce your payments to an affordable level or asking creditors to accept payments to date in final and final settlement, but it will depend on what the comparison looks like with Bankruptcy as to whether it will be attractive for creditors to accept.
I have a long term mental health condition which hasn't help my wife and I keep control of the VA. I have missed payments because of other family commitments. In hindsight that has been an error on my behalf. Also due to my condition I have been unable to work for at least 8 months of the plan and went down to half pay for 3 months. That's when we asked for a payment break. Our last child is leaving home on 12/04 and it will leave myself ,my wife (interlocking IVA) and my 38 year old stepson. We rent our property on a long term let and we have asked our landlord if we can downsize . That will drastically reduce our outgoings and my step son will leave also . This will reduce the stress on both of us as I manage the money each day really and its very difficult to control other peoples use of appliances etc. Due to my anxiety condition I am very passive and will always avoid confrontation . That has not helped make our VA successful.
We did have our third variation meeting and an amount of £2250 (arrears) was added to the end of the VA and it was agreed we could pay that amount over another 12 months. In theory the VA has been extended. We are in a corner . Our income has reduced but our expenditure has increased and because I have missed payments our utilities have also increased more as I try to catch up. We do have disposable income of £179 but its a lot lower that the £297 we are expected to pay.
I said to my IP that I was willing to go BR and let my wife continue with a single IVA but she said that because we only have 2.5 years left it would not make any difference to the creditors .In fact she said that they would not get a return from the BR..
My wife and I discussed our forthcoming meeting with our IP and I have taken notes from the forum and we have decided to transfer our expenditure into another account so that we stay in budget. This is something I haven't done previously and it has of course caused many problems to me.
We have paid only £4000 into our plan to date. There is no option for me to obtain a F&F but I was going to suggest that when I retire in 4 years time the creditors could have an amount from my pension lump sum to clear the arrears. Thank you as always Paul & Melanie
I meant creditors could consider accepting the payments you have made to date in full and final settlement...i.e your IVA would finish early and you would not have to make any further payment or terminate the IVA.
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