Change of circumstances - settling IVA

Get expert opinion. This is the place for new questions to be posted.
5 posts Page 1 of 1
Twiglet
Posts: 21
by Twiglet » Sat Sep 09, 2017 6:41 pm
Hi all, this is my first post so please excuse me!

My husband and I have been in an IVA since March 2013. We paid religiously every month and always sent the documents for each annual review back promptly, we increased the payments when we were able to. Then, I had to give up work last year due to my son's disabilities, it's been awful but we tried to maintain our payments and eventually took an agreed 3 month payment break. During this time, I spoke to our IP and advised them about the change of circumstances with me giving up work, they sent me a change of circ form to fill in which we did in Jan this year, along with a new Invome and Expenditure with all the evidence. I had to keep chasing and eventually had to re-send the documentation in February. We were not in a position at all to make the payments so the payment break was extended whilst the change of circ was looked into. I've since chased them every month and nothing has happened and I haven't made payment. They called me at the end of August about payments and I went through everything, he wasn't very sympathetic and put me through to the beach team which could then see on my account how many times we had contacted them since Jan to try and get it sorted. When she's loomed she's advised that the reason I hadn't heard anything is that when they've looked at my I&E and bank statements, our disposable income was only £30 but they couldn't set the payment up for that but nobody has told us this! She has suggested, because if how much we'd paid over a period of 3.5 years that a variation meeting is called and the creditors are being asked if they will accept what we've already paid as a settlement given the change of circumstance and the reason for this - I provided solid evidence of why I HAD to give up work. Has anyone heard of this before? I'm absolutely terrified, the variation meeting is on 4th October and it's constantly on my mind as I don't know what I'm going to do if it's rejected! I think we've paid about £9.5k and the debt was £18k but then fees etc need to be taken off, paperwork says that if it's accepted, the creditors will get 35.21p in the £ whereas before, they were going to get 54p in the £ so not sure they'll accept it :( . I don't own my own house, I rent and have no assets.

Thank you for any help/advice!
User avatar
Foggy
Forum Expert
Posts: 23906
Contact
by Foggy » Sat Sep 09, 2017 6:51 pm
Hi -- 35p in the pound is actually a very good dividend ! My circumstances were different but resulted in the same situation -- halfway through my IVA I found myself in a position, beyond, my control, where I was unable to make payments any more --- I had paid just over 30 p in the pound. The creditorss were asked to accept payments made to date and they accepted --- So it can and does happen.

Fingers crossed for you.
User avatar
kallis3
Forum Expert
Posts: 71957
Contact
by kallis3 » Sat Sep 09, 2017 7:32 pm
Fingers crossed from me as well!
Twiglet
Posts: 21
by Twiglet » Sat Sep 09, 2017 10:24 pm
Thank you very much for your replies! I didn't know what was a 'good' dividend and what wasn't if I'm being honest so was unsure on the chances! I've tried everything to keep the IVA but it is completely impossible for me to be able to work with my son's situation currently! Thank you
User avatar
Michael Peoples
Industry Expert
Posts: 15188
Contact
by Michael Peoples » Mon Sep 11, 2017 8:34 am
Creditors are usually sympathetic to illness and the resulting changes in circumstances. Your IP will be recommending acceptance so hopefully everything goes through. It is not that uncommon to call a meeting to accept payments to date as full and final settlement. We do it regularly rather than just fail an IVA.
5 posts Page 1 of 1
Return to “Ask IVA Forum and Industry experts”

Who is online

Users browsing this forum: JustPlainStupid and 25 guests