I am going onto my 4th year of IVA and my Mom has said that she would give me £4100 to pay it off early. the final payments come up to £4039. Do you feel this will be accepted?
Yes but make sure the offer reduces the longer it takes for the meeting to be arranged.
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
It seems you are offering more than the balance. I would suggest it should actually be discounted to reflect the additional payments as per Lifenoteasy but also because you will be bringing it to an early conclusion in one simply payment which will also save on admin costs. Maybe offer £2,500/£3,000
Thanks for the feedback. My IP are the ones who told me that £4100 is the minimum I must offer to have it cleared. Now you guys says it's to much. I really need an expert with this giving me advise as I don't want to offer to much and on the flip side I don't want to offer to much. My mom is the one giving me the money and I would prefer to not take £4100 if I can give less. What is the likely hood they will accept it if I offered £3400?
I'm just an amateur relaying advice that others have found useful.
At the end of the day it comes down to how comfortable with the advice being provided plus how much you want to get out of the iva.
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
I'm a bit surprised your IP is telling you £4,100 but of course I don't know the full details. At the end of the day it's up to creditors to vote for the variation. If they reject it, you simply continue as you were. It may be because you have told your IP your mum can pay £4,100 that this is the figure they are insisting upon. I would go back and tell them your mum's circumstances have changed and the maximum amount she can offer is actually lower than originally intended and see how they react. How long have you got left in your IVA if it continued normally?
I have 2 years left on the IVA and my payments are £168.50 a month so £168.50 x 24 comes up to £4040 roughly and they said that is the minimum I can offer in full and final payment. I have never missed a payment or anything like that but my issue is the IP which is cleardebt keep pushing me to kids in the team and I just feel like they are not giving the best advice.
Hi - I don't understand why your IP is insisting on £4k minimum unless there may be other circumstances I am not aware of here. You are offering a settlement - that is the whole point of a settlement - they get a one off lump sum to pay a final dividend to creditors and close the IVA early and you get to move on with things. This will also save on nearly 2 years administration fees (although there may be a variation fee charge) so I cannot see why you wouldn't offer less. Perhaps dress it up by saying your mum doesn't have £4k as originally thought etc but is willing to offer a lower sum.
Thanks for the advise, there is no back story I have never missed a payment or asked for breaks so it's a very straight forward account. They said I need to offer what the creditors would have received if I staying in IVA for the next couple of years hence that price. But to give you an idea of the issues I have with them being useless I asked the to chairman's report and copy of IVA and in the documents I had a cover letter regarding another individuals IVA and about them failing it. I was shocked by that cause if I was him I wouldn't be happy.
Someone else may have a template - I'm afraid I don't however if it was me I would say something along the lines of:
Dear XX
My IVA
My mum has kindly offered to gift me £xxx to settle my IVA early. Please can you call a meeting of creditors to see if they will accept this one off lump sum payment. The offer is only being made if creditors accept it. Payment can be made within 7 days from acceptance. This will bring the IVA to an end nearly 2 years earlier than originally estimated.I have never breached my IVA and have always fully cooperated with my Supervisor. This is all my mum is able to lend me for this and I hope creditors will look upon this offer favorably so that I can try and move on with my life. Please include a copy of this letter to the creditors when writing to them. Thank you etc etc
