IVA approved! thanks to everyone who posted

[Adam Davies]

Hi
Well I really hope that it is agreed and you seem to have got all the angles covered.It will give hope to many if yours is indeed accepted.............fingers crossed
Regards

Andy Davie
IVA.co.uk Spokesperson and site manager
(aka Neverending)

Please check out my blog: http://andydavie.blogs.iva.co.uk

View my profile here:
http://www.iva.co.uk/andy_davie_profile.asp

[Sensible77]

Thanks, Andy. I hope so too! I'll post updates as and when I know more.

[ordinary_world]

Hi SadSack,
You've raised some very interesting points. Given what I've read previously, I had thought that the pence in the pound agreed included the IP fees i.e. it was up to the IP and creditors to agree. For example, if I was able to afford 50p in the £ then the IP would receive say 10p in the £ and creditors 40p.

Afterall, your disposable income and equity are what they are - you cant offer any more! Assuming its enough, I would have thought the creditors and IP carve it up between them. Do IPs charge different rates? If so, do creditors prefer to negotiate with those IPs who charge lower fees? Or is it based on more than the dollar i.e. creditors agree to higher IP fees for those who have an excellent track record of successful IVA completions etc.

Anybody know the answer?

OW

- 'I wont cry for yesterday 'cause there's an ordinary world somehow I have to find...'

[MelanieGiles]

The dividend in the pound is that returnable to creditors, not what is divided up between creditors and IP. Insolvency practitioners do charge at differing rates - but in general creditors keep their eye on what is being charged and exercise their own scales of reasonableness.

This poster could offer a higher dividend by increasing the amount to be eventually raised from the equity, but then gambles upon eventual affordability and the ability to re-mortgage to raise sufficient funds.

It may also be possible to extend the term of the arrangement, to also provide a higher return, as in my experience HSBC will not budge from the 40p ruling never mind who the IP is!

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

[ordinary_world]

Many thanks Melanie, all makes sense now.

(I had only read and responded to page 1...hadnt seen the posts on pages 2 to 4 which addressed the issue! Doh! it must be my sunstroke!).

OW

- 'I wont cry for yesterday 'cause there's an ordinary world somehow I have to find...'

[thebear29uk]

Hi Sensible

I think you are being unwise in placing your trust in Payplan because they are supported by HSBC. The idea they might know something everybody else doesn't know doesn't stack up either.

Melanie, IVA Squirrel, Thomas Charles, IVA Experts and others who post on here know that 40p in the £ is the minimum. As Melanie says she speaks to the decision makers on a daily basis.

I would urge you to reconsider proposing on 30p and take Melanies advice. Payplan are a mass producer of IVA proposals and fine for somebody with a straightforward case. i.e. no mortgage, no debt with HSBC or Northern Rock, etc. But if the case is more complex then a smaller setup like Melanie can tailor the proposal to give it a more realistic chance of success.

You mention 8p in the £ in bankruptcy but this will have no bearing on HSBC lowering their minimum amount.

I wish you well with whatever you decide

Dave

[Sensible77]

I'm not putting any hope in the fact that they are supported by Payplan, just mentioning it. Also, the comment that they may know something we don’t was tongue in cheek. Anyway, I will stick with them and let you know how it goes.

[Sensible77]

Just read this post http://www.iva.co.uk/forum/topic.asp?TOPIC_ID=2450

HSBC accepted 35p in the pound so perhaps with a bit of a modification, (or hopefully not), I will get accepted.

[tracy.h]

Goodluck sensible what will be will be hope it turns out well for you.

[thebear29uk]

Hi Sensible

I certainly didn't mean to offend you by my comments. More so I wanted to point out that whilst you think that Payplan have your best interests at heart this is not always the case. Any company that deals with things on a mass production basis will only ever look at things as the bottom line and what profit will be made.
Ask yourself this question: if I need urgent referral will my IP be available? I dont think so. These people are probably responsible for 100 IVAs but probably dont speak to more than 20 potential clients. When push comes to shove will they be able to help?

Once again good luck with your future

Dave

[ordinary_world]

Hi Sensible,
It sounds like this is a high risk strategy.....however, on the positive side it may mean high gains! [:)]

This will be a test of HSBC's rigidity/stubborness with respect to the 40p/£ stance (would they really prefer you to go bankrupt or DMP for x years?). It is also a test of the quality of PayPlan's advice/support. PayPlan's fees do sound high and cant understand why they wouldnt lower them to get the 40p/£ - perhaps they've cut a deal with HSBC? I hope so! I'm going to sound cynical here, but both HSBC and PayPlan are big money outfits and will primarily have their own interests at heart (making hard cash with lowest outgoing!)....its a buyer beware or 'insolvent beware' market out there! This is one reason why I found this forum and the experts on it so invaluable.

Before allowing PayPlan to pull the trigger, I would speak to your IP and raise the 40p/£ concern. Although PayPlan claim not to charge if they dont get the IVA, it would still leave you at ground zero with further charges potentially stacking up and your debt increasing.

Good luck mate with whichever path you take, I'll be rooting for ya! Keep us all posted!

Best

OW

- 'I wont cry for yesterday 'cause there's an ordinary world somehow I have to find...'

[Sensible77]

Hi, thebear29uk. No offence taken! It's hard to convey a "tone of voice" in a message or e-mail. I value all the responses I've had - good or bad and I appreciate the fact that people take the time to provide constructive comments. I will speak to Payplan about the 40p in the pound issue.

[thebear29uk]

Hi Sensible

Thanks for that. I do worry that sometimes our answers are not what the poster wants to hear but we can only be honest and relate to our own experiences and knowledge gained by reading this forum. I've been visiting the forum for more than 6 months now and in that time have read thousands of posts and threads and the general consensus is that HSBC and Northern Rock are not accepting less than 40p and the level of service provided by the "IVA FACTORIES" is questionable. This includes things like never actually speaking to the IP, being in a queue to have proposals put forward, not being given all the facts etc.

At least you are aware of the HSBC thing now and will discuss it with your IP. One last thing and again without being patronising, do make sure you actually get to speak to the IP and not one of the underlings.

Good luck and please post Payplans response.

Best wishes

Dave

[freelili]

Hi sensible

When is your creditors meeting??

LILY

I believe that angels breathe and love will live on and never leave. I cherish all you gave me everyday.

[Sensible77]

Hi, freelili. I don't have a date yet, but it should be around the first or second week in June going by the timescale Payplan have given me.