I am 6 months into an IVA. After 3 years could I make a Full & Final settlement ?

[Philip.ws]

I am 6 months into an IVA SET FOR 5 YEARS. After paying it for 3 years would it be possible to make an offer to my creditors to end the IVA an wipe out the remaining debts. The offer would be based on the total expected payments over the remaining 2 years. For eg.. Remaining 24 monthly payments at £300.00 per month would total £7200.00....i would offer £10000.00 to end IVA and wipe out remaing debts

[Shining]

Hi and welcome to the forum.

A full and final offer I do believe can be made at any point, and to offer as close to what your creditors would be expecting in payments would be a good figure to offer.

Hope your IVA is running smoothly for you at the present time?

[kazzafunk]

Hi - welcome.

As Lesley says you can make a f&f offer at any time and creditors are more likely to look favourably if you have a good reason for wanting it to cease early.

However, please note your credit rating will still be affected for 6 years from the date your IVA was approved.

[cs101]

Hi Phillip,
Why would you offer £10,000 when the balance remaining would be £7200. The offer of £5000 will do.

[Foggy]

Hi, as cs101 says, do not offer over whatever the amount remaining to be paid amounts to. This is what the creditors signed up for and will be happy getting it early.

However, unless there is good reason for the offer ( such as something which could threaten the viability of the IVA) do not make the offer too low and risk it being refused. You might get a second chance to make an improved offer, but the creditors will not like to be played.