anyone who understands settling the IVA early.

[r_l]

i started my IVA in November 2005, therefore due to conclude November 2010.

Im unsure of my origional debt but a proposal of paying £275 a month for the 5 years totalling paying back £16,500.

I have paid £275every single month and from July last year (due to a bonus) have paid back £300 which is currently still ongoing.

Thats for everyones help in answering my last query. this forum has been a constant help throughtout my iva, THANKYOU.

I have another question- sorry guys...

im am due to get married June next year- my soon to be husband has told me as a wedding present he will pay off the remaining of my debt, next june. he has asked for an approximate costing now of what i think it will (next june)

i havent a clue how to work this out? working on the assumption that none of my conditions change. what do you think would be an appropriate sum to offer?[:I]

would it be the £16500 minus what i have already paid? or do you think i could make a reduced offer that they may except to settle 1year early?

id like to tell him now if its simply not visable.

anybodys advice welcome- X

[Adam Davies]

Hi
There should be a saving on one years IP fees but this will probably be cancelled out by the cost of the variation meeting.
So if you base it on total payments to make over the five years less payments made then you will be ok
I presume that there is no equity release clause ?
Regards

[ianmillington]

So you'll be aboout half-way through your IVA which means at your current contribution of £300 you'll have £9k left to go? That must be your worst case scenario.

You can probably discount 1.5 years Supervisors Fees (assuming they are based upon a fixed rate per annum) for a start. What is the figure then? Is that do-able? If so, you can then offer the lump sum early. I have the view( although I do know of IPs who don't agree) that even if you are settling the agreed sum early it requires a variation. Given the circumstances you describe I shouldn't see any reason for them saying no.

It might be possible for you to offer a bit less to relect the fact that you are settling early - in that case what dividend in p per £ were your creditors to receive anyway?

HTH

Ian

PS This presumes no equity release as referred to by Andy

[r_l]

Hi
There should be a saving on one years IP fees but this will probably be cancelled out by the cost of the variation meeting.
So if you base it on total payments to make over the five years less payments made then you will be ok
I presume that there is no equity release clause ?
Regards

well there is an equity clause, but i dont own a house? i will be moving into my fiances home. but ive not paid anything towards this.
will this have any imapact??

[Adam Davies]

Hi
Did you own a house when your IVA was agreed ?

[r_l]

Hi
Did you own a house when your IVA was agreed ?

No i did not own a home when the IVA was agreed- but i was agreed that if i was to own a house when the equity clause will be applicable.

i am currently renting - and will be moving into my partners home in the nxt couple of months.


this home will still remain his. i will help out where i can with bills, he will however maintain the mortage.

will this have any imapct?

[ianmillington]

So long as you are seen to be simply making your fair contribution towards your living expenses (rather than making payments towards the mortgage) then no-one can argue that you have acquired an interest in the house.

However, you will understand that there will be a major change in the structure of your income and expenditure. On the oft-misused basis of "2 can live as cheaply as one" there is the potential for your next income and expenditure review to show an increase in your disposable income and hence contributions, which will have implications for the early settlement you seek.

I would be inclined to see if the settlement could be done earlier if this is in any way possible, to avoid any possible distortion.

ian

[r_l]

So long as you are seen to be simply making your fair contribution towards your living expenses (rather than making payments towards the mortgage) then no-one can argue that you have acquired an interest in the house.

However, you will understand that there will be a major change in the structure of your income and expenditure. On the oft-misused basis of "2 can live as cheaply as one" there is the potential for your next income and expenditure review to show an increase in your disposable income and hence contributions, which will have implications for the early settlement you seek.

I would be inclined to see if the settlement could be done earlier if this is in any way possible, to avoid any possible distortion.

ian

i currently live with my parents, so i think if anything my expenditure would increase not decrease.

im worried that my mistakes will have an impact on my future husband. he has worked hard to get the house and i would rather not move in if it has any implications on him
.

he will be able to prove he fully pays the mortage as he has fully purchased it.

Is there anything i can do to protect what is his?

[Adam Davies]

Hi
You both have nothing to worry about.
Speak with your IP about your changes and if you want complete peace of mind pay a visit to a solicitor regarding the property.
Regards

[ianmillington]

In view of what you say in your final post I entirely agree with Andy

Ian

[MelanieGiles]

And do ask your own IP for a settlement figure he/she would be prepared to put before creditors, as they may have differing views.