www.iva.co.uk

My parents have just come into a small bit of money, and would like to try and help me pay off my IVA - obviously if it's not too much!

Can I just obtain a statement of monies owing from my IP for reference, or once requested does that bind me to paying off my IVA? Or is there a way I can calculate an estimation myself?

Thanks

Nadine

If your parents are offering anywhere close to the original dividend it is usual that creditors accept a full and final. Your case manager could give you an estimate of how much this would be without committing your parents to anything.

It all depends on how long you have been in your IVA, your monthly payments, the amount of the original debt and any other assets available to creditors. However, bear in mind that an early settlement would reduce fees and be attractive to creditors so just multiplying the number of months left with your monthly payment would exceed the amount needed to close down the IVA.

Thanks for your fast reply!

I have been in my IVA for nearly two years. My debt was £18,100, which was reduced to £15,000 with the IVA (£17,250 with IP's fees).

I have paid a little over £6000 to my IVA (£250 a month, plus any overtime I have earned). So are you saying that if I offer around £10,000 (£250 x 36months remaining) that may be accepted?

Sorry if I sound daft or a bit slow on the uptake!

Kind regards

Nadine

I think £10,000 would be more than generous as you have less than that to repay. Given the term of the IVA is dropping by three years the supervisory fee will also come down. There will be a variation fee payable but I would think £6-8,000 would achieve the same dividend as in the original proposal and should be acceptable to creditors.

I hope it works out for you and let us know.

Thank you so much for the reassurance!

I will talk/write to my IP as soon as I can.

Will let you know how I get on!

Thank you very much for your help.

Nadine

Great advice from Michael, to which I completely concur.

Yes 6k-8k should be the maximum you offer for your F&F - good luck and let us know how you get on.

Hi again,

I sent off a cheque for £6,000 in full and final settlement. My IVA consultant thinks this is a fair offer in light of the current economy - so finger's crossed!

I have one other problem: my wages have gone down substantially this month as I am not longer allowed to claim over time. Over time was also taken into account in my reviews, without it I am £250 a month worse off. I have contact my IVA company to see if I could make a lesser payment in these circumstances. The consultant confirmed that my full and final settlement application was being processed and that no future payments (i.e. end of feb) were included in that settlement. She advised me that if I could simply not pay, or just pay a lesser amount. The only consequence would be that if my settlement claim was rejected I would have to make up the monies.

Does this seem normal? I am worried that if I don't pay I will breach the agreement.

Thanks in anticipation of much needed advice!

Nadine

Hopefully the offer will be put forward quickly, and therefore the effects of the short-payments will not be relevant.

Good luck, I hope your offer is accepted x

Best of luck with your offer. It shouldnt be too long till you have an answer and i think it will be a yes.

Good luck Nadine. Let us know how you get on.

Hi all


Just a quick message to say that today my creditors agreed my full and final settlement offer!

Such a relief!

Cannot quite believe I have gone from being nearly £20K in debt, to being debit free two years later - obviously a severe way to do it, but am just happy I can finally start over!

Would just like to thank people for their support - especially Melanie and Michael who have answered my queries on numerous occasions!

Kind regards

Nadine

Fantastic news Nadine.

Good luck for the (debt free) future.

That's great news - another satisfied poster who has been helped by this amazing community forum. Well done to your IP for getting this accepted by creditors.