Some FF advice please

[downandout]

It was an inheritance and up for sale anyway, and I felt obliged as I would have used the money to pay towards our debts anyway and yes they are aware.

[downandout]

I think the doc's were so they would be notified of the sale

[Lisa Thomas]

I'm afraid it sounds like you have to sell it. Perhaps your siblings can use a little of their share of equity to help you with a F&F offer on the balance...

[downandout]

Just some final clarification please Lisa, would you still offer £20000 even though £8000 of the £23000 is actual payments and £15000 is equity or is that pushing it a bit.And many thanks for all your comments

[Lisa Thomas]

Where is the other c£5k going to come from?

[downandout]

You'very lost me lol.we were going to make a few of £23000 consisting of approx £8000 in payments and £15000 from the property and you suggested an offer of £20000. I was just wondering if this was right as the biggest portion is coming from the property or would that not matter

[Lisa Thomas]

Sorry I forgot you were going to make an offer from your pension.

£20k would be a reasonable offer in the circumstances.

Remind me - are you getting all of the offer money from the pension or are you relying on most of it coming from a sale of the flat?

[downandout]

The money is all coming from the pension in lieu of the flat selling, but out of curiosity what happens if we dont offer a FF and the flat hasn't sold after the full term of the iva it is on at a good price and has been reduced in price to sell

[Lisa Thomas]

You will be in breach of your IVA as you have promised to sell the flat, probably within a certain time period.

I suspect your IVA only gave an estimate of the equity in the flat, not that a minimum dividend had to be paid (check your terms carefully)

IN which case there shouldn't be an issue just because there is less equity than originally estimated, you will still have given up 100% of your share in it as promised.

If for some reason it is an issue then ways around it (if you don't offer a F&F settlement from pension proceeds) could be:

A) Get confirmation from your IP that although the flat sold for less equity than originally estimated you have still not breached your IVA - (there is usually a specific clause in your IVA about this).

B) if A) is a problem get a variation from creditors accepting that there will be less equity than originally anticipated.

[downandout]

Many thanks for all your help, it has been very useful to us