Redundancy

[laura414]

We’ve just had a letter off our supervisor to say they’ve extended our IVA by 12 months because we couldn’t remortgage. As the letter dropped, my husband was told he’s losing his job because of downturn of work because of Covid. We’ve struggled massively these past 5 years paying £545 a month and I’m terrified our IVA will fail in the last year because we won’t be able to make the payments and bills just on my wage. My husband is only getting £2000 redundancy payment. Is there anything we can do so we don’t end up back at square one when our IVA fails? Please help

[GaryB1968]

In regards to the redundancy payment this is safe as you can keep up to 6 months pay to help whilst looking for employment.
Speak with your Insolvency company and ask to review your I&E. If it shows you cannot afford to continue ask them to go to creditors via a variation meeting to see if they are willing to end your IVA based on what you have paid so far. Based on your I&E review they may still need to speak with your creditors to offer a lower payment based on the outcome of your review

[luluj]

Sorry this is happening at this stage of your iva. I would ask them to consider a full and final based on payments made to date.

The small redundancy payment will be excluded from anything as you are entitled to retain the equivalent of 6 months salary.

Good luck and let us know how you get on.

[laura414]

Thanks both, worrying times after struggling through the past 5 years we thought the end was in sight. This forum is very supportive though so thanks for your help x

[luluj]

You are welcome- I am confident a full and final proposed will be considered positively by creditors/ iva supervisor. No one will want to see an iva end badly this far into your journey.

Let us know how it goes