Your views and questions.

Moderators: TalbotWoods, JaneClack

By Trina
#268293 Should this be used to pay my creditors or should it be used towards the expenses of the children (teenagers not tots)

Any advice is appreciated as my I & E form is due
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By JaneClack
#268483 I am afraid this is not "ring-fenced"; in a debt management plan the budget should include money for children's housekeeping and clothes and perhaps things like school dinners and school trips etc and the child benefit is put against this so is added to the income.

Creditors are very aware that all parents receive this unless their working visas state they can receive no state benefits so can and do question its absence if the budget includes children.

The benefit which causes some debate is Disability Living Allowance which is given to compensate, if you like, someone for their disability to allow them to live more comfortably due to the extra expenses they have to make. In some DMPs this income included and then on the expenditure it is regarded as disability living expenses -care costs, cleaner, taxi, car, gardener, more telephone etc etc. Some people choose to use part of it to fund a debt management plan, others do not. My husband used the DLA he got under terminal rules to try and get the house spruced up - that is what he wanted to do. In an IVA, however, the creditors expect to see exactly what it is spent on.