Feedback please about using some of my pension to end IVA early.

[rover860]

hi
thinking of using some of my pension pot later this year to end my iva early as i turn 55 in a few months , im with harrington brooks and i will have one year left by july and probably the extra 12 months to pay
has anybody done this and if so i would like to know how they got on
thanks rover860

[linrog]

we were with harrington brrokes we did a full and final with part of my pension pot i made it clear funds wou;d not be drawn only as settlement to full and final payment if proposal rejected by creditors i said the pension would not be drawn ours was accepted i only drew down the ammount for the full and final once you have your completion certificate you can do as you wish

[Foggy]

Hi, as linrog says, OFFER to make a draw down only, conditional upon ther offer being accepted. If you draw down anything outside of the offer it will be taken into the IVA anyway, with no benefit to you.

[Lisa Thomas]

Always take advice form a pension specialist before cashing in your pension.

[rover860]

we were with harrington brrokes we did a full and final with part of my pension pot i made it clear funds wou;d not be drawn only as settlement to full and final payment if proposal rejected by creditors i said the pension would not be drawn ours was accepted i only drew down the ammount for the full and final once you have your completion certificate you can do as you wish

hi
thank you for your reply
would you be willing to give me some details on how you went about the offer such as what percentage of the amount left to pay was offered was the offer made via a letter or phone , was there a final financial review at any point after the offer etc etc
sorry if this comes across as prying into your personal affairs but i need as much info as possible and this needs to be correct before i pick up the phone and start proceedings if you would prefer i could pm you my email address
thanks again rover860

[rover860]

Hi, as linrog says, OFFER to make a draw down only, conditional upon ther offer being accepted. If you draw down anything outside of the offer it will be taken into the IVA anyway, with no benefit to you.

hi thanks for the reply
so if i understand correctly just for instance if i have acceptance of an offer of £4000 in writing and i draw down £10000 they are only entitled to the £4000 and nothing over and above that figure and my money will be safe from being taken into the iva
thanks rover860

[Foggy]

we were with harrington brrokes we did a full and final with part of my pension pot i made it clear funds wou;d not be drawn only as settlement to full and final payment if proposal rejected by creditors i said the pension would not be drawn ours was accepted i only drew down the ammount for the full and final once you have your completion certificate you can do as you wish

hi
thank you for your reply
would you be willing to give me some details on how you went about the offer such as what percentage of the amount left to pay was offered was the offer made via a letter or phone , was there a final financial review at any point after the offer etc etc
sorry if this comes across as prying into your personal affairs but i need as much info as possible and this needs to be correct before i pick up the phone and start proceedings if you would prefer i could pm you my email address
thanks again rover860

Hi Rover. I am afraid that the PM service has been disabled on the site, due to spamming issues in the past. A F&F offer needs to be based on the remaining number of payments ( plus 12 if there is equity to be considered) multiplied by the current monthly payment. This can be rounded down slightly to reflect the savings in administration costs to the creditors.
Some IP's want the offer in writing, others will accept it over the phone. Personally I would prefer to do it in writing for recording purposes. They will want to know the source of the third party funds and will require evidence confirming that a draw down is possible.

[Foggy]

Hi, as linrog says, OFFER to make a draw down only, conditional upon ther offer being accepted. If you draw down anything outside of the offer it will be taken into the IVA anyway, with no benefit to you.

hi thanks for the reply
so if i understand correctly just for instance if i have acceptance of an offer of £4000 in writing and i draw down £10000 they are only entitled to the £4000 and nothing over and above that figure and my money will be safe from being taken into the iva
thanks rover860

No --- if you draw £10k on an offer of £4k there is a possibility that the remaining £6k could be due to be paid to your creditors as well --- you are bound by the terms of the IVA until you get the completion certificate, even after a F&F has been accepted. The only way around this is to make it part of the offer, that they will ignore the surplus. However, this could be asking for trouble, as, if they know more is available, they may want it !

[Lisa Thomas]

but the point would be that if they don't accept your offer you don't draw down the pension.

How much are your monthly payments and how many do you have left to go?

Does the extra year apply to you re the equity clause?

[rover860]

but the point would be that if they don't accept your offer you don't draw down the pension.

How much are your monthly payments and how many do you have left to go?

Does the extra year apply to you re the equity clause?

hi
yes i think the extra year is included and the total i would have to pay adding up all instalments is £4650
thanks rover860

[rover860]

we were with harrington brrokes we did a full and final with part of my pension pot i made it clear funds wou;d not be drawn only as settlement to full and final payment if proposal rejected by creditors i said the pension would not be drawn ours was accepted i only drew down the ammount for the full and final once you have your completion certificate you can do as you wish

hi
thank you for your reply
would you be willing to give me some details on how you went about the offer such as what percentage of the amount left to pay was offered was the offer made via a letter or phone , was there a final financial review at any point after the offer etc etc
sorry if this comes across as prying into your personal affairs but i need as much info as possible and this needs to be correct before i pick up the phone and start proceedings if you would prefer i could pm you my email address
thanks again rover860

Hi Rover. I am afraid that the PM service has been disabled on the site, due to spamming issues in the past. A F&F offer needs to be based on the remaining number of payments ( plus 12 if there is equity to be considered) multiplied by the current monthly payment. This can be rounded down slightly to reflect the savings in administration costs to the creditors.
Some IP's want the offer in writing, others will accept it over the phone. Personally I would prefer to do it in writing for recording purposes. They will want to know the source of the third party funds and will require evidence confirming that a draw down is possible.

am i wright in thinking evidence would be my pension statement and did they want to review your finances [statements for the year leading up to the f&f offer] during the conclusion of the iva

[Foggy]

I would think evidence would be a letter from your provider saying that they would be willing to entertain a draw down -- I would try to avoid mentioning amounts.

In my case they did a full review before, and as art of, my offer -- but this could have been due to my own circumstances. However, a review will be conducted before the IVA is formally completed in any event.

[linrog]

hi rover i had no equity in my home so offered just over my remaining months left which i think was 15 months i made it clear i would only drawn down pension for full and final proposal i sent mortgage statement valuation letter from estate agents my pension statement with offer letter i started the ball rolling by phone harrington brookes had my meeting with creditors within 28 days money was paid over when i reached 55 i did my offer 3 months early then within 6 weeks i had my completion certificate hope this helps

[Lisa Thomas]

I would advise you get the equity position established first so you know whether or not the year extension will apply. This could save you a years worth of contributions as part of the offer...!

[rover860]

hi rover i had no equity in my home so offered just over my remaining months left which i think was 15 months i made it clear i would only drawn down pension for full and final proposal i sent mortgage statement valuation letter from estate agents my pension statement with offer letter i started the ball rolling by phone harrington brookes had my meeting with creditors within 28 days money was paid over when i reached 55 i did my offer 3 months early then within 6 weeks i had my completion certificate hope this helps

so you got every thing in place before your 55th sounds like the way to go , i have heard of harrington brooks f&f offer team are they as helpful as i hope they are ie offer a list of documentation i will need and advise on the offer amount etc
ta rover860