Payments to IP

[hammy0107]

I have just had an IVA rejected, well to be honest i am not sure if it was rejected or whether my IP pulled the plug on it when they knew it was going to be rejected. Anyway they charged me £3k + VAT up front for this and didn't seem to actually do much other than put a proposal together and write to my creditors. Reading other posts on here i am wondering if i have been done. Any thoughts please?

[rayb]

That is a hell of a lot of money to lose. I would ask for a refund as to be honest you should not have paid up front at least not that much. Who was it with?

[KAMRAN]

i am going through an iva and have not paid anything and my meeting is next week - as far as i am aware you dont pay anything until once approved

I think you need to take some legal advice here

[kallis3]

We never paid a thing until ours had been approved, and then it was just the agreed monthly payment.

I am sure one of the experts will be able to answer your questions.

[facingittogether]

hammy that does not sound right!

we paid one month upfront before our creditors meeting, to show committment i think, but if the iva had not been approved the payment would have been returned to us, our next payment is one month after approval!

i think they are ripping you off, although i am not an expert!

barb x

[emma_t]

Hammy

Dig out all the papers and see what you have signed as some companies do charge up front fees, but I have never heard of a big lump sum like this - where do they think you will get this from?

Check everything you have recieved from them to see if it says anything about fees and maybe get further advice

Hope it gets sorted
Emma x

[MelanieGiles]

There is nothing wrong in reality with an IP charging his nominee's up front - as the work does have to be carried out, whether the case is accepted or not, and I am sure that they will have you sewn up into an agreement which confirms that the fee is payable regardless, but in reality most IPs who specialise in personal insolvency choose not to charge on this basis.

Where did you get the money from to pay over such a large sum, and which firm were you using?