www.iva.co.uk

My mother in law has an IVA with around 2.5yrs left to pay, payment total remaining is £5,400. she has poor health. working full time to pay her IVA is not helping that in the slightest. what are the chances of the IVA company accepting us paying the total of the remaining payments off in a lump to clear the IVA and enable her to reduce her hours at work to preserve her health?

Hi and welcome,

Sorry to her about your MIL's health problems. Yes, you can make an offer to finish her IVA. You will have to let her company know that any money is only available for that.

I would offer less than that sum personally. Perhaps offer £4k?

I agree with Kallis and would think an offer of £4k - £4.5k would be given serious consideration.

An offer that low? Really? I want to give it the absolute maximum chance of being accepted any rejected offer is only going to serve to add more stress to the situation.

It's a game of sorts --- I have seen very low offers accepted as well as offers over the amount expected declined. If the creditors refuse then you can go back with an increased amount. You could go in with the full amount but there is still no guarantee.

Bear in mind as well that you need to tell them the reasons why especially about the ill health.

She could initially put forward a request for creditors to accept payments to date in F&F on the basis of her declining health etc.

Perhaps see what comes out in the wash to that and only then put forward a lump sum offer if it is rejected.

Don't tell them you have funds available initially or they will want it!

Best of luck with it -- do let us know how you get on.

Best of luck from myself too.

Thanks everyone, she's currently awaiting a call tomorrow to discuss things with the IVA company so we will see what they have to say. I've advised her to stress the health issues and that she is unlikely to be able to afford her payments when pension changes happen for her at work in April. Will see what they say about those things. Failing that we will put in an F&F offer for the sum of the remaining term, I just hope we can get it sorted out for her.
I've seen a lot if mention of people waiting for closure certificates, dies this mean they can still take money between accepting a F&F and sending that certificate? She doesn't have a house is anything of value but if this gets accepted she may look to retire in the new year so that's a concern to me.

Hi,

No. Once the full and final is accepted then no more payments are due.

Fingers crossed that she can get this sorted - tell her to make sure they know how ill she is.

Don't mention the full and final until you've heard what they have to say about payments to date otherwise they will want that money.

Between final payment and the issue of the certificate she will still be bound by the windfall clause --- so lottery wins and inheritances can be drawn into the IVA, but normal income is no longer taken account of.

Update, the full and final was accepted and paid on December 21st, completion hasn't been received yet as its still early days. Mother in law is now panicking because she thinks at some point in setting up her iva they sent a letter (which she can't find) stating that 6 months after completion they'll contact her to see if she can pay more. She's looking to move in with us and still work a few hours, she's worrying that by doing that, in 6 months time they'll want her wages as she'll have no bills to pay with them. Can someone clear this up for me please?

Than you for letting us know the outcome -- great news.

She is possibly thinking about the usual in-built administration period of 6 months -- which allows the IP up to 6 months to issue the final completion certificate. Either that or the equity release exercise which is usually 6 months before the end of the initial term and allows for a possible extension. However, the F&F has been accepted and the IVA is, all but the paperwork, ended.. Hopefully the certificate will arrive soon and the whole thing can be put to bed.

hI GOOD RESULT! i AGREE WITH fOGGY THE ONLY STANDARD 6 MONTH CLAUSE I CAN THINK OF IS THE ONE ALLOWING TIME FOR CLOSURE.

oops sorry for shouting!