Is this a good offer for F&F?

[irishphenom]

Is this a good offer for F&F?

My debts total just over £33k, so far i've paid in £18,800 and just receieved a PPI offer of £5228.89

[Kelly O]

Are you thinking of using the PPI as a full and final offer?

If you are still in an IVA and have received a PPI refund this will be seen as an asset and paid into the IVA

[irishphenom]

Yes i'm thinking of using my PPI refund as a F&F but iva comany says that creditors will more than likely not accept it.

[Niobe]

I agree with Kelly - this will have to be paid across to your IVA and will increase the dividend to your creditors.

[GilliB]

Hi Irishphenom. Looks like you will have to pay it all in as an asset. That said, other posters have had it accepted as a F & F. If your circumstances have fundamentally changed such as loss of income, it may be worth a shot to ask if payments to date + PPI would satisfy your creditors. Who knows what's being accepted these days re: PPI?!

[kazzafunk]

We incorporated my PPI refund as part of our full and final sum - we understood this had to be paid over but were lucky that by having this refunded to the IVA pot we could use some of my pension lump sum to negotiate an early closure.

Although the PPI will have to be paid to the pot if you have any changes in your circs in the future the good news is that by paying over the sum you would have to offer less to see the IVA close early.

[MelanieGiles]

It is not necessarily an asset! Check with your IP or read the terms of your IVA proposal to be sure. What is the value of the remaining payments you have to make into the IVA?

[luluj]

Your own terms and conditions will determine if this is an asset or not.... Your own IP should be able to confirm this for you...if it is not classed as an asset then a way of reaching what a good offer to end would look lie is to multiply your current payment by the months remaining ...this will give you a ball park figure

[irishphenom]

I've made 51 payments so 9 left at £500 (£4500) but currently on payment break due to loss of job.

[MelanieGiles]

If you are not likely to be able to recommence your payments in the near future, it is quite possible that your creditors may accept an offer of full and final settlement from your PPI monies. Seek direct guidance from your IP on this matter.

[worried9876]

Hi,

In my experience what your IVA company wants and what is best for you or your creditors can be very different things.

Just remember ultimately the creditors decide what is fair and not and the IVA company are just the middle people.

Not that for any moment am i suggesting not to work with them when ever possible.

[kazzafunk]

I have to disagree worried. In my opinion, an IP is the go-between the creditors and the debtor. Yes they have to ensure creditors are getting the maximum they are entitled to but they also represent you when you cannot contimue with the original proposal.

Our IP gave us full support in our f&f offer - even though it cost them 4 years in fees. We provided the evidence needed to show our creditors that it would be impossible to continue in the IVA, our IP called the meeting and all was agreed.

[Sam Hawkins]

Hi All, I always explain that as an IP we are 'honest broker' for the creditor and the client who are both entitled to rely on us. We try to find a solution which is fair to the creditors and to the client.

When meeting your IP for the first time they should explain the different roles they play and how these roles change.

What is fair is based on all the circumstances and in my experience a good offer is actually the best offer which can be made in the circumstances. This is different to a 'good offer' which may be good but not the best one which may be put forward.

I would discuss it with your IP who is working for you too. I hope this helps. Sam