Creditors' Claims

[e.h]

A quick question. We have just received our Annual Report (completed first year of our IVA)and in the report it states that six of our creditors have yet to submit claims.

What exactly does this mean and what are the implications upon completion of our IVA if they never submit claims during its term? Does this mean that they can come after us for all money and interest owed to them once we have completed our formal IVA?

Regards

Liz

[MelanieGiles]

It means that your IP has not yet received final claims from 6 creditors. In the unlikely event that they do not receive any claims at all, then the creditors will be left out of the list to rank for dividend purposes and wil not be paid any money. They are not permitted to pursue you for these sums after the event, but the most likely outcome of this is that the IP will chase them up and I am sure that by this time next year they will be paying them a dividend.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[e.h]

Thanks once again for your very swift response Melanie. It is all clear to me now.

Regards

Liz