www.iva.co.uk

Dear all

Please can you advise me on how much lump sum payment would be possible acceptable by the creditors under the IVA. 35p per £1, 40p, or 50??

Many thanks to all.

Hi - more depends on the number of payments you have left plus whether potential equity in a property.

Hi Fran22
Are you struggling with your payments or do you just have a friend who wants to get you out of it early. I tried to do this at the beginning of the year and my company GT wanted to add £3000 on top of 12 months that I had to pay. I knew there would be no equity in my property so couldn't understand this. When I questioned it they said they are generous with amounts the allow you to have for food etc... And said that my creditors would want more than the 12 payments.
On my equity release they decided to calculate my equity in a different way which showed equity. Thanks to Michael and lifenoteasy I challenged this and they have now done an urgent review and have agreed no equity. Thanks for your advice lifenotsoeasy. My IVA finishes in March next year.

Mont - glad what I said proved helpful.

A lot will come down to the company that you are with in terms of how they view a f&f but the simple principle should be that the creditors are potentially getting the money early.

Our recently accepted offer was based on amount left to pay (ie amount of payments) plus i took a little off for paying early due to less fees etc. This offer didnt take into account any equity or additional 12 months. They accepted this right away and i have just received my CC letter.

If this is a one off it also depends and we have had these accepted at any amount from less than a penny in the £ upwards.

Many thanks for all your responses. I really appreciated it.

Based on your answers I note the following:

My IVA was accepted £20,000 (£12,000 asset realizations + £13,000 monthly payments - £5,000 IP charges) net to creditors.

I have already paid £12,000.00 (about almost 100% of my original monthly payments total) within 40 months. Therefore I have left at this moment £7,500 to pay within the next 20 months.

At my current payments at the end of 20 months will be £5,000.00.

I assume that I will not be able to remortgage anyway, therefore someone close to me can offer my IP £3,000.00.

So, dear advisers my question; "is there a possibility that £3000 could be accepted?"

I look forward to hearing your valuable advice.

Many thanks.

It is borderline but certainly worth putting to creditors. They can only say no in which case the IVA just continues on as normal.

Hi if I understand your figures correctly you are offering £3k against what would be £5k if your IVA continued in the normal way. It does seem a little light but as creditors are receiving more than was originally anticipated they might look favourably on it. Much might depend on whether your IP supports the figure too and recommends acceptance to your creditors. It's worth a shot - they can only say no!

Good luck - hope it all goes ok.

Hi to all.

Many thanks for your advice. A special thanks for Lisa Thomas that kindly offered and gave me great further advice privately. I will recommend her to anyone with IVA issues.

However, I just received good news that my wages will increase. My annual review was just done about 3 months ago.

Please can I ask you guys the questions " should I inform my IP or just pay them what I suppose to pay which is 50% extra for any amount about 10% of my monthly wages until the next review??

I look forward to hearing from you.
Many thanks

Glad it went ok.

I would inform your IP of your wage increase - some want it now, others are happy to wait until the next review but it's always best to check.

Thank you Fran. Glad I could help. You should notify your IP but if you're still going to go ahead with making a F&F offer it probably won't make much difference anyway (if accepted)