In armed forces, due to leave in 4 years and considering applying for an IVA

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paul787
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by paul787 » Mon May 29, 2017 5:26 pm
I'm considering applying for an IVA however i'm currently a member of the armed forces and due to leave in just under 4 years time. At this point i will receive a large payout for my 22 years service. I'm unsure, if i was to commit to an IVA will i loose all my payout when i leave? Obviously this was going to be used to help consolidate some of my debt but leave me with a chunk for accommodation. Please advice.
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kallis3
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by kallis3 » Mon May 29, 2017 6:09 pm
Hi,

If you can manage until you leave then I would do so otherwise you could well lose your payout.
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Michael Peoples
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by Michael Peoples » Tue May 30, 2017 8:42 am
You could do a four year IVA and exclude your gratuity or use some of it as a full and final offer. This is not uncommon and creditors will often allow serving members of the armed forces to retain most or even all of their severance money. This money is needed to resettle, start a business, find somewhere to live etc and if excluded at the start would not be a windfall.
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Lisa Thomas
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by Lisa Thomas » Tue May 30, 2017 8:59 am
You could put forward IVA proposals that match Bankruptcy - i.e 3 years of payments and close your IVA before the pay out is received...
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Foggy
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by Foggy » Sat Jun 03, 2017 5:53 pm
I would suggest a more in depth discussion with a firm, like those posting above, who have had clients with similar circumstances.
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