I am new to the forum and i am looking for a bit of advice on settling an iva early. I am approaching my second year of my IV in april and i have put forward an offer to settle of £6000. This is a gift from my mum and will only be offered should my creditors accept the offer (in other words i wont get it if not!) my total debt when entering was 22k and i have paid 6 months at £165, one year at £299 and the past 4 months at £352. The reason i am really hoping to settle is that i am expecting my second child in April and this means that money is going to become very tight even if i have my payments reduced. Does anyone think this is realistic or will it be laughed at. My IP does know why i am wanting to settle. Thanks
If you have paid the last four months at the rate of £352, and assuming that your IVA is of five years in duration, there must be 38 months remaining? If this is correct, then creditors future anticipations would be to receive 38 x £352 = £13,376 - which does make an offer of £6k seem very light - however I am sure your own IP will use the fact that your income will be reducing whilst you are on maternity leave, and that your expenditure is likely to increase with the arrival of the new little one.
Hard to tell without knowing the full facts of your case, but trust your IP and if they think it is a good offer creditors will generally follow their lead in my experience.
Hi emily and welcome to the forum from myself too, all the best with your offer and with the birthd of your second child. Melanie as always offers the best advice so I would talk to your IP. Hope it goes well for you x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
