Hello Again
I thought the forum might be interested in an MBNA update,
I have been contacted by MBNA 'Customer Care' department and their 'Insolvency and Bankruptcy Manager' sent me three (yes 3!!) letters yesterday offering 'Partial Settlement'.
One letter encourages me to raise a cash lump sum, (borrow from relatives or equity on house), and pay an agreed lump sum in final settlement of the debt.
The other two, identical letters, suggest a 'reduced monthly payment plan' to be agreed with all my creditors over a period of 5 - 10 years with 'suppressed' (does this mean frozen?) interest.
Both letters then list the 'considerable advantages' of the MBNA proposal against an IVA, they suggest that a 'partial settlement' or 'reduced payment plan' will allow me to pay back my debts with, quote;
'minimum impact on your credit information and couldrepresent significant savings to you'.
All three letters then list the disadvantages of an IVA, quote;
Pay large fees, on average an IVA costs £7000
Run the risk of bankruptcy if you miss one payment
Run the risk of the IVA being rejected. This could lead to loss of fees and potential enforced bankruptcy
Have a Default registered on your Credit file which may hinder further credit and prevent you obtaining preferential rates
Have a review of your saleable assets such as your home if there is equity available
I have sent all three letters to my IP at Grant Thornton because I don't know how to answer them.
Has anyone ellse had similar approaches from MBNA [?][?][?]
On another subject, spoke to a lovely lady today, proof writer from Grant Thornton, my proposal is ready, as soon as her manager approves it it will be sent out for signatures, she estimates creditors meeting within the next 28 days, nerves starting to kick in already [:-(][:-(][:-(]
IVA COMPLETED ON THE 17th MARCH, FINAL I&E COMPLETED 26th APRIL, COMPLETION CERTIFICATE ARRIVED 2nd AUGUST