| T O P I C R E V I E W |
| gunx01 |
Posted - 08 May 2009 : 20:12:37
I am currently in an IVA (coming upto the 3rd year)of which I have missed 2 payments and looks like I will miss a couple more as I have lost my job.
From what i've read after 3 missed payments I will be made bankrupt.
Part of my IVA agreement required me to sell my car (owned) which at the time was worth £7000 and give half to my IP. After being unable to sell my car it is now worth £1900. Are they able to take my car away? It is the only asset I own. Problem is I need it to take my wife to work (as no public transport at 5am)and also for her regular doctors and hospital appointments, I will also need it when I get a job to travel to and from work. |
| 15 L A T E S T R E P L I E S (Newest First) |
| gunx01 |
Posted - 10 May 2009 : 12:39:01
Is it right that if the OR decides that the car is worth more, for example...£500 more, then I could pay that £500 and keep the car? |
| gunx01 |
Posted - 10 May 2009 : 12:22:14
'JoJo' - what sort of cars do you and your partner drive i.e value and size of engine and what sort of conditions were used to allow you to keep them both? |
| gettingoutofdebt |
Posted - 10 May 2009 : 07:21:48
If you need the car to take your wife to work early in the morning and her hospital appointments you may be ok. The OR will probably ask if your wife drives but if she doesn't then it should be ok.
The value is right on the limit of what the OR normally considers to be the upper value of an allowed vehicle (£2K) but if it needs a lot of work done to it, and you have a quote from a garage, then the OR should understand this. |
| gunx01 |
Posted - 09 May 2009 : 22:15:47
Ok great, now onto my car - it is an Xreg 2.8L with about 83K on it, currently on Parkers for £2100 and needs around £700 - £800 worth of work to put it right (at a garage, for which I have a quote), various issues.
I know you may say that i'd probably be better off getting rid of it but it is my pride and joy and most of the work I can do myself thus cutting around half of the cost.
Consumption on the car is great considering the size of the engine, I spend around £35 a week on petrol averaging about 250 miles a week = 29MPG
Do you think they would have any issues with this? |
| gettingoutofdebt |
Posted - 09 May 2009 : 18:46:55
The Housekeeping should be fine as you can explain the situation with your mother.
If you are unemployed when you are made BR then it is unlikely that you will have interview with the OR. It will only be once you have employment that you will need to contact the OR and update them on your income situation. |
| gunx01 |
Posted - 09 May 2009 : 18:02:36
Rent - 500
Housekeeping,including food and cleaning - 350
Travelling to and from work and(personal transport) - 155
Travelling to and from work(public transport) - 47
Clothing - 80
Mobile phone costs - 45
Dry cleaning - 15
Prescriptions - 7
Hairdressing and personal care - 20
Holidays - 40
Car Insurance - 35
Petrol (Included above as 'Travel Expenses to and from work')
Road Tax - 17
Car Servicing/MoT/Repairs - 35
Breakdown Cover - 5
The following are in my wifes name (who will not be declaring BR):
Loan (unsecured) - 240
Credit Card - 25
Other Loan (unsecured) - 106
Catalogue - 9
TOTAL EXPENDITURE = 1731
Wifes Wages - 650
JSA - 219
TOTAL INCOME = 869
TOTAL DISPOSABLE INCOME = -862
So even if I was earning 1k then I would have a DI of -81
Is this ok?
Is the housekeeping figure ok even though I am living with parents at the moment? We do contribute alot as mother is not working. |
| gunx01 |
Posted - 09 May 2009 : 16:00:28
Thanks 'gettingoutofdebt' for the info. Am currently out at the moment but will post a revised copy of my i&e for you to have a look at.
I really do appreciate the time and effort people have been putting in to help me. |
| gettingoutofdebt |
Posted - 09 May 2009 : 13:40:55
BR is the best option financially but you have been in an IVA for quite a while so it is a shame to let it fail after putting so much work into it so far.
As for the I&E the following wouldn't be allowed as they would have to come out of the surplus:
Social and entertainment expenditure - 50
Alcohol - 30
Cigarettes - 60
Driving Lessons - 18
For 2 people you could claim:
Housekeeping - £350 (maybe a bit less)
Holidays - £40 (OR may reduce this)
Hairdressing and personal care - £20 (£10 per adult)
The loan and Credit card would be written off unless the loan is a secured loan? The Catalogue would prob be the same.
Other - 106 You would need to explain what this is for.
Manintenance (Repairs) - 2.20. Is this car repairs? If so then you should up this to about £20 per month.
Clothing - 112. This is right on the upper limit so depending upon the OR they may reduce it.
You should round the other figures up to the full pound.
If you had an income of £1k net then you shouldn't have to pay an IPA:
Rent - 500
Housekeeping,including food and cleaning - 350
Traveling to and from work and(personal transport) - 155
Traveling to and from work(public transport) - 47
Clothing - 112
Mobile phone costs - 45
Dry cleaning - 15
Prescriptions - 10
Hairdressing and personal care - 20
Holidays - 40
Car Insurance - 35
Petrol (Included above as 'Travel Expenses to and from work')
Road Tax - 17
Car Servicing/MoT/Repairs - 35
Breakdown Cover - 5
Total= £1386
You could put down your partner's contribution as £400, which would leave you with £14 as disposable income.
|
| gunx01 |
Posted - 09 May 2009 : 13:26:42
So would you agree that even if I was to get a job with an Income of £1000 per month (net) that there would still be no IPA?
Do the expenses on my I&E look reasonable? Or would I be asked to cut down on anything? Do the car and personal expenses look too high?
Do you think BR is the best option for me? (the way I look at it, it seems like the only option!). |
| gettingoutofdebt |
Posted - 09 May 2009 : 13:26:21
Yep, so no IPA for you while you are unemployed so you would be better off financially declaring BR.
When you do find employment and look to rent a property it would probably be better just to have this under your partner's name otherwise you may have problems as letting agencies are not too keen on letting properties to people who have declared BR. |
| John |
Posted - 09 May 2009 : 13:07:48
Hi
an IPA can only be imposed on you if YOU have DI after meeting your share of the reasonable household expenditure. So no IPA here.
John White
England Jackman & Spacey |
| gunx01 |
Posted - 09 May 2009 : 13:02:37
Yep, the JSA is mine - and that is good to know that they cannot implement the IPA.
It will be just myself declaring BR. |
| gettingoutofdebt |
Posted - 09 May 2009 : 12:52:40
Are you on benefits at the moment i.e. the JSA is for you? If so then you only need to declare that amount and the OR cannot implement an IPA for anyone on benefits.
Once you get a job then you will need to contact the OR and advise him of this and he will then work out an I&E with you.
Would it just be you declaring BR or your wife as well?
|
| gunx01 |
Posted - 09 May 2009 : 12:31:46
Heres my I&E - sorry haven't put the '£' signs in. (this also includes my parner's income & expenses)
Do my expenses seem resonable?
Rent - 500
Housekeeping,including food and cleaning - 110
Travelling to and from work and(personal transport) - 155
Travelling to and from work(public transport) - 47
Clothing - 112
Mobile phone costs - 45
Dry cleaning - 15
Prescriptions - 6.85
Hairdressing and personal care - 38
Driving Lessons - 18
Holidays - 20
Social and entertainment expenditure - 50
Alcohol - 30
Cigarettes - 60
Car Insurance - 35
Petrol (Included above as 'Travel Expenses to and from work')
Road Tax - 17
Servicing - 8.33
MOT - 3.33
Manintenance (Repairs) - 2.20
Breakdown Cover - 2.91
Loan - 240
Credit Card - 25
Other - 106
Catalogue - 8.88
TOTAL EXPENDITURE = 1673.24
Wages - 650
JSA - 218.83
TOTAL INCOME = 868.83
TOTAL DISPOSABLE INCOME = -804.41
|
| gettingoutofdebt |
Posted - 09 May 2009 : 12:17:31
I don't think this forum allows attachments. Can you copy and paste the I&E? |
