Will my pension lump sum be taken from me?

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alice624

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Post by alice624 » Sat Feb 01, 2020 9:32 am
Will my pension lump sum be taken off me while in an IVA? Also will the regular monthly pension be taken away while in a pension. It would be accessing my pension early. Five years before full pension date. But quite normal formany to access their pension earlier. I've also been a part time worker for most of my teaching career and left five years ago.

kallis3

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Post by kallis3 » Sat Feb 01, 2020 9:53 am
Depending on how long you have been in your IVA, if you can manage it I would hang on until the end before cashing in.
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Foggy

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Post by Foggy » Sat Feb 01, 2020 10:04 am
If you draw a lump sum whilst in your IVA it will, in all probability, be payable to your creditors. Any ongoing regular payment will also be counted towards your income for the purposes of calcul;ating your monthly IVA payment.

If you can leave it until the IVA is fully completed you will a) benefit from any lump sum yourself and b) enjoy a slightly increased monthly payout (depending on the performance of the financial market).
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
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Lisa Thomas

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Post by Lisa Thomas » Mon Feb 03, 2020 9:43 am
Yes you may likely have to pay the lump sum into your IVA so take great care.

It might be better to make a condition f&f offer to pay a lump sum from the pension to end the IVA early, but you will only do it if creditors agree to the variation order.

As with the annuities if your IVA income increases your contributions are likely to increase accordingly.
I'm a licensed IP with 16+ yrs at Neville & Co covering the South West area. I have a YouTube channel with advisory videos on here: https://www.youtube.com/channel/UCMPTTu ... Z5k9ZcC2MA http://www.nevilleco.co.uk 01752 786800 Lisa@nevilleco.co.uk
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