Full and Final Offer - Help!

[angelrainbow]

Hello all! I am after some advice. My family are concerned with how hubby and I are coping (things have been tough)and are discussing everyone chipping in (my parents, grandparents, hubby's parents and gran) to make up a full and final offer.
Thing is - I have no idea what to offer..here are the numbers:

original debt - £32,700
Paid to date - £11,656
To pay off in full (inc all fees) - £22,000

Our IVA started in August 2008 and is due to finish in April 2013.

We pay £555 a month presently, but have paid as much as £626.

Other figures to note include that we returned my car that was on a PCP rather than refinance, which resulted in us paying an extra £210 a month over 2 years earlier than was originally programmed into the IVA.

So - given that, what would be a good figure to offer?
Do they also only accept under certain circumstances?

[Michael Peoples]

Personally, I would think £15-20k would be reasonable especially as you are in the group targeted for the withdrawal of child benefit and child tax credits. This will impact in the future and given the uncertainty and the fact that the money is paid quicker, I believe creditors would be sympathetic to an early settlement.

[angelrainbow]

Thank you Michael! [:)]

[liamjames]

If you are about to lose benefits or things have been tough, it will benefit you to mention this in your variation proposal and give your creditors a complete picture of why you are making this offer.

As Michael says, creditors tend to be more sympathetic if there is a genuine reason behind the early settlement or if there is reason to believe that the IVA is otherwise unlikely to complete successfully.

It's lovely of your family to be discussing this, and I hope it gives heart to those worried about telling friends or relatives of their struggles. Best of luck!

[Shining]

Hi AR, no idea about amounts but would like to say I hope this works out positively for you x

[MelanieGiles]

Your offer should be in line with your current disposable income,multiplied by the number of payments you are yet to make. If you are struggling with those payments at present, this can also be taken into consideration to set a lower sum.

[angelrainbow]

Lesley, thank you - we will have to wait and see..our IP say they won't even submit to the creditors unless they think it has a chance of bein approved, so might be a long journey still!

Melanie - thank you, that is very useful and helpful information [:)]

[angelrainbow]

Well, I have written to my case manager outlining our offer and the reasons behind it. I will keep you posted, so watch this space!

[angelrainbow]

Well, our case manager thinks it is a decent enough proposal to put forward, so now we officially have to put the wheels in motion.

[Shining]

All the best AR, let us know won't you, how it goes? x

[Michael Peoples]

Best of luck from me too and good to see your case manager is confident.

[liamjames]

That's fantastic news- fingers crossed for you.

[angelrainbow]

We won't be going for the full and final now. Our case manager stated they required photocopies of the bank statements the money was coming from for money laundering purposes and my family was not happy that these details would be kept and not destroyed. Of course we have to respect their decision and thoughts but it has been a real emotional roller coaster.. good luck to anyone who is going for a F&F

[Shining]

Oh I'm sorry to read this AR, I assume there is mo other way to provide the necessary proof? X

[MelanieGiles]

It seems madness that such a sensible way forward would be spoilt over such a simple thing!