Can anyone just confirm how this figure is calculated, according to my iva i have agreed claims of £39000 and will have paid £13200 after 5 years with a property calculated to achieve approx £18000 giving a total of £31200 but my paperwork indicates a dividend of 48p in the £ i am no mathamatician but this equates to more than 48p does'nt it ? i would have thought more like 79p or am i using the wrong calculations
Fees will be deducted from the payments that you make. Your proposal should say how much they are expected to be though. Call your company for clarification if you are unsure.
If you pay over, one way or another, £31,200, around £6500 - £7000 will go in fees and disbursements. So, the creditors will actually be getting around £24,500
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
As relieved says, the basis for the fee charging will be explained in your paperwork and possibly amended in the Chairman's Report.
Are there any, as yet, unconfirmed claims? The dividend will be calculated at this stage on the total outstanding debt, regardless of whether it has been confirmed.
Last edited by Foggy on Mon Aug 11, 2014 8:33 pm, edited 1 time in total.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
That's closer, though still 54p so charges must be even higher than £7000 not a bad return really. So purely speculation, kind of, where would i stand if as my sister has indicated we sell the flat (that i have a third share) would my sister be able to pay the Iva off even though i am not likely to fail, am paying extra off (overtime)and overall things are quite healthy. Or is that sort of thing usually for failing Iva's.
VAT might be payable on some elements of the fees and on the disbursements.
On the flat sale. Your share will be payable into the IVA in any event (presumably the £18k you referred to earlier), but your sister would be able to pay the balance of the £13200 from her share.
Usually reduced F&F offers are made in IVA's likely to fail for one reason or another being out of the debtor's control. In your case you will be offering what they would have been getting anyway (gambling on anticipated overtime etc. is not good business practice). They will be getting it in a lump sum -- so no fiddling about with uneconomical installments and saving on admin costs. They will be sure of getting it (your IVA might fail in future years).
Your IP ( assuming costs are calculated in the usual manner these days, on a percentage basis ) will also be getting the full whack, a lot earlier and his / her administration costs will also be a lot lower. So good news all round.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
So even though all is going ok i would be able to make a F&F to the full value of the agreed payments ie- £220x60 + £18000 from property + £220x12 for year 6 as i dont believe there will be the sort of equity i would need for a remortgage a total of £33840 less monthly payments already paid not including extra overtime payments
Basically, yes. Of course, as with any variation, there is no guarantee it will be accepted, but I see no reason why it shouldn't.
Not sure that you would need to introduce another 12 months as the equity would have been addressed by the £18,000 already agreed. Also the figure would be less all monies paid in (whether from normal repayments, overtime, PPI, or whatever).
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Ah, right .... I see. In that case your original figures are basically correct.
I might add that, although it is possible to end early with a F&F, the IVA will still remain on your credit files for the standard 6 years from the start of the IVA and therefore blight your credit worthiness.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by Foggy
Also the figure would be less all monies paid in (whether from normal repayments, overtime, PPI, or whatever).
Just need to clarify the above statement (sorry to be a pain)as i am under the impression overtime would be an extra on top of payment against the original owed total, not against the agreed payment total, so would not come into the calaculation unless it took me over 100p.
Sorry about your mum passing. I really thjnk that you need to speak directly with your IP who can get all the facts. I think technically that the £18k inheritance should be paid over under a windfall provision, it would have been in our case.
The general idea when offering a F&F, without mitigating circumstances forcing the issue, is to give the creditors what they signed up for: In this case £18k, 60 x 220 payments and equity calculated in the final year.
Obviously if you overpay by adding in the overtime already paid then the deal will be that much sweeter.
Personally I would offer the lower figure which can always be increased if they refuse.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
