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I have 14 months left to run on my IVA - I am considering purchasing the property I currently rent - the IP has told me that the creditiors would accept a settlement figure of £ 11 000 but my outstadning debt by my calcuation is only about £ 4000 - the IP said this is to cover there admin costs. I have been paying £260 p/m on the IVA of this the IP has been taking £130 p/m. Is the right ?

Hi sec and welcome to the forum

Get your IP to provide you with a very detailed breakdown of this amount so that you can understand where your money is being spent. £130 per month for IP fees is too expensive, but if that is what your creditors agreed to then you are stuck with it. Were the fees not explained to you when you entered into the arrangement?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

I think the reality is Melanie that most people do not look at the actual IP costs when starting an IVA,all that matters is a]the monthly payment b]the fact of will it be accepted or not
I would guess that Secs IVA is on a time cost basis,hence the high cost.
In reply to Sec..........if those figures are correct regarding[and i can,t see how]a settlement figure you would be better to let the IVA run its full term before purchasing.
Regards

can you not continue your iva for 14 months then buy this house

Hope you are well