How do I work out how many pence in the pound

[adam090376]

Hello All
I am nearly ready to start an IVA through Thoams Charles who have been great talking me through the figures and working out what would be best to put. However I just have one question for the forum. How do I work out how the problem of how many pence in the £ I am paying. Is their a formula or sum to do this?
Thanks
Adam

[MelanieGiles]

Hi adam

It really depends upon the level of your contributions, less the IP fees (which can differ from firm to firm), leaving a balance which is then divided equally amongst your creditors.

For example - IVA payments of £600 per month would equal £36,000 - if IP fees and costs were a total £8,000, then this would leave £28,000 to divide amongst creditors. If you owed £50,000, then this would produce a return of 56P in the £.

Hope this makes sense.

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

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[neverending]

Hi
I would advise anyone reading this forum to allow £10k for IP fees as a general guidline.
Times your monthly payment[disposible income]by 60 and take off £10k.
The amount left is the amount divided between your creditors.
Eg £400 month x 60 =£24k,less IP fees £10k =£14k to your creditors.
Divide the 14k into your total debt[say 56k]as a percentage = 25%
So you will return 25p to your creditors for every £1 that you owe them
Regards