Early Settlement?

[James83]

Hi guys, I was wondering if anyone could help me. I into my 4th year of my iva and have 20 months left. Now I am seriously thinking about joining the police but I have jut spoken to someone and they say that you can't join up unless you are debt free. Seems a bit extreme to me but it's a kick in the teeth to be honest if this is true.

Now I pay 130 per month and also have about 3,500ish pounds coming back in ppi and the original debt was 13,000 pounds in all.

I told my parents my predicament and they said they might be able to help me. Do you think Id be able to offer 1500 pounds as a full and final settlement or would it have to be the full amount left to pay on the iva?

Thanks

[lifenoteasy]

You cannot join the police as an officer or support worker if you have an outstanding IVA and MUST have the completion certificate.

You might get away with what you have suggested but should expect 2-3 months for the offer to go through plus allow time for the completion certificate.

[James83]

Hmmm, I might wait until the ppi has come back (still waiting on one creditor, think they're digging their heels in!) then offer that plus throw in the goodwill gesture too. Id love the money but I think I'd like to be debt free a little bit more lol. Maybe the police is something for the future then

[Lisa Thomas]

Hi James The offer seems reasonable given the reduction in length of time and saving on Admin costs.

[James83]

I think I might ring my IP up and see if I can put this on the table. Be even better if this ppi hurrys up lol.

[James83]

I've just phoned my IP. They said 1500 might not be accepted so I threw the 500 pounds good will gesture onto the table and they said that would probably be okay as a full and final settlement. Actually shaking a little bit, really hope this goes through!!!

[lifenoteasy]

Good luck

[James83]

Just had a thought though, do you still pay the monthly contributions even though the settlement offer has been sent to them? My IP has gone home for the day so can't ask them lol.

[James83]

Thank you though lifenoteasy, your post spurned me on to ring them so I thank you!

[Foggy]

You carry on paying until the offer is accepted, James.

[James83]

Oh does it, I suppose it all helps really, if it takes two months to go through then really they'd be getting nearly all of the money actually left on the iva!

God I hope it goes through, hasn't even been offered yet but my god I'm gonna feel so happy if it does!

[Foggy]

Fingers crossed, James, but try ( Difficult I know) not to dwell on it.

[James83]

Thanks, Foggy. Going to get the ball rolling when the goodwill gesture arrives in my bank account.

I do have a query though, if an offer of 2000 pounds is made do they ask for the money immediately or would they ask for it if the creditor go for it? I only ask because if that's the case and I still make contributions until the offer is hopefully accepted then surely that would mean that money that's been paid in that time would have to be refunded at the end? Does this make sense to anyone lol

[lifenoteasy]

Keep the money seperate and let the payment come (when agreed) from whoever is providing it.

[Foggy]

They will want the money soon after the offer has been accepted. Payments made in the meantime will just be looked on as increasing the offer making it more attractive and will not be refunded.

Some variations can be worded so that the interim payments are deducted from the offer ( which prompts them not to dally ). In my case I had a break agreed while my offer was going through ( bit of a gamble as, if the offer had been refused, the missing payments would have been added back on at the end).