F&F settlement/advice/help. I'm 2 years into my IVA. The original payments were £424, I paid these for 16months (£424x16= 6784), I had s 6 month payment break as to pay back HMRC for child tax credit for the last year. My monthly payment reduced to £222, I've made 2 payments (£444). In total to dat I've paid £7,228 against an original debt of £31,500.
Unfortunately my circumstances have changed after accepting a new position with a new company, the company I was joining hit some financial difficulty and withdraw my offer 1 week before by start date, Id already handed in my notice and they promoted someone to replace me. As it stands I a week I will be unemployed.
My parents have offered to a gift to settle the IVA if £6,500. Making my contribution in total £13,726.
I spoke with my Company Knightbridge Insolvency, the lady was very unhelpful and have me no confidence I what she was saying it explained to me in any detail.
I was told that by offering £6,500 I would be offering a settlement of 17p on the pound. Off the top of my head I make it somewhere near the £0.40p on the pound. Can understand where the £0.17p cone from.
Secondly, I asked her if I should included in my letter to Knightsbridge the reason why I am making this offer, I was thinking this might have an impact on the creditors decision as if the offer in declined there is a real risk of it failing. Her response was that they don't need to know why just need to state how much I'm offering.
Can anyone offer advice on the above, also I've read I need to send proof of where the money is coming from and a letter from my parents. She didn't mention that, she once they receive the offer letter from me they will write to my creditors with the offer. This will take 28 days to get a reply.
I am guessing that you spoke to an office worker and not the most experienced one at that!
They should be able togive you a precise breakdown of where the 17p cones from, I am guessing IP fees came out first.
The very least they could do would be to offer a payment break to see if you can find alternative employment.
I thought from reading posts on here that you had to say where the money was coming from and that it's omly available at yhis time as full and final. Not done one myself though.
Hi. Yes, the 17p will be due to fees, as the nominees fess are taken out in the first few months, so a big chunk of what you have paid so far will have been eaten up there.
The creditors should be told the reasoning behind an offer, as the grimmest of circumstances will prompt them to consider lower offers ..... Imagine, in my case, my offer was to close the IVA on payments made to date. As it happened I had a darn good reason and the creditors accepted --- but if I had just asked straight out "Can I just stop paying and we'll call it quits?" thik of the answer I would have got !!
It sounds like the person you were talking to didn't know or care!
They should also ascertain where the money is coming from for money laundering regulations. As Relieved said you should make it clear in your offer that the money is from a third party and is only available for the F&F.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
