Hi
This is my first post. I was wondering if anyone had experience with final settlement.
I have been paying off my Iva for the last four years. I initially owed £46000 most of which accumulated as interest on my initial debt of £25000 which came about due to the break down of my marriage. I pay around £125 a month although this varies from year to year. I have child and am unemployed and no assets or property I recieve partly housing benifit to get by. I am up to date and have never missed a payment. A friend has offered to pay off my IVA a reasonable settlement figure.
I spoke to the IVA company managing mine and they said I had to come up with an amount but I have no idea what to offer as it's not my money. I don't want to loose this opertunity as I am working hard to get my life back together.
I understand they will want at least the amount I still owe which is roughly two years payments would this be a reasonable offer. From speaking to my manager it seems I only get one chance at this but I would rather wait the two years than mess up my Iva
Any advice appreciated
An offer which brings the creditors what they signed up for will be looked at seriously. Don't forget that they are also saving money in administration costs by having a lump sum rather than a multitude of dividend payouts.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
You probably would get a second chance but may be asked to pay the cost of calling another meeting.
Given what you have identified and your income the full and final reduces the risk of further reductions in payments to creditors.
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.
Hi Gail - by my calculations 2 years at c£125 per month is £3k. There will be a saving on administration costs if creditors accept but the IP may be entitled to charge a fee for calling the variation meeting which may cancel out those savings. I would suggest an offer in the region of £2,000 - £2,500 should seriously be considered by your creditors. Hope that helps.