www.iva.co.uk

How early into an IVA can I make a Full and Final settlement offer? I'm not in a position to do this right now but hope to be soon.

I believe that you can make an F&F offer at any time. The real acid test is whether the offer is acceptable to your creditors. Fletch

That is correct - where will you be getting the funds from to make the offer as a matter of interest?

My cousin would be willing to gift me the money from her savings. It's only an idea I am playing with as it is a huge amount for her to give me. We will see! Thanks for the help!

If you do decide to go down this route then you will need to consider what the offer should be. Always make the offer as close to the agreed amount at the outset - best way to calculate is number of months left by the monthly amount.

Your cousin would need to write to confirm that this offer was only available for the purpose of a full and final offer, otherwise you would not have access to this money.

You might also be asked to explain why it is being offered - have your circumstances changed since the outset ? Are you no longer able to afford the monthly IVA figure ? Are you under threat of redundancy or change to working hours / drop in salary etc - these kind of things need to be part of any full and final offer so that your creditors can see the benefit of them receiving their money now rather than over the next few months / years.

Best of luck with your offer if you decide to go ahead.

Based on my experience yesterday with F&F offers I'd say that it's essential for you to offer the same amount as the sum of your monthly payments, unless you can present a strong case that there's a realistic chance of you not being able to continue that level of payment for the duration of your IVA.

In my case I'd been fortunate enough to benefit from, during the course of my IVA, a restoration to a 5 day working week from a 4 day working week, and very recently a 7.5% pay rise, and even though as a result I'd already (50 months into my IVA) paid back more than my creditors originally anticipated getting from the entire 60 months of my IVA, and despite recently missing part of 4 consecutive monthly payments leading to a slight extension, my F&F offer, which was 20.5% less than would be forthcoming from my remaining 13 monthly payments, was rejected outright and my creditors apparently made it clear they wouldn't accept anything less than the whole outstanding amount.

What a lovely cousin you have s-murphy-pop! Best wishes with it if you decide to take that offer - let us know how you get on

Did you increase your offer to get the full and final settlement accepted pavel33?

That's what I intend to do Mel, but apparently I have to go through the whole process again so it'll take another 2/3 months - or are you suggesting that I could have gone back to my IP as soon as my first offer was rejected and said "ok, we're prepared to raise the offer to cover the sum of my monthly payments" and the process could have resolved within days rather than months ?.

Thanks for clarification.

If they did not adjourn the meeting they should rush a new variation out and not put you to the back of the queue.

Thank you for the help!