www.iva.co.uk

Am wondering if anyone can answer this question.

I have just heard from HSBC that they have passed on my debt from a business loan to Metropolitan collection services (I have not made any payments for 4 months),and have recieved a letter from a solicitor demanding paymentin full...obviously I cannot find £22K

Is this just a debt collection agency working for HSBC or have they passed the debt on?

Am waiting for a meeting with my IP...paperwork has just been sent off...and they say not to worry...but this has really scared me.

I am going to try to go for a one off full and final payment as I do have a house that I am selling to a family member. But I keep reading that HSBC will accept only 40% of total debt...mine stands at £54K spread over 3 creditors (but there are 3 accounts within HSBC) who are the majority obviously. I understand that all debt is individual, but hope that someone can give me a guideline as to what I can expect to have to find for a full and final. I have recently started a new job and do not have any disposable income, so this is really my only option. I am not trying to get out of paying my debts, but I do just want to put the past 2 years behind me and be able to start again from scratch. I also understand that this will stay on my credit file for 6 years....but there was something about a certificate after a year that I am unclear on.

Sorry to keep asking questions, but I am finding this site a great comfort, I wish I had found it a year ago!!!

HSBC are asking for a minimum dividend of 40p in the £, however they do view every proposal on its own merit.

If you were to achive this 40% and taking into account costs of the VA (which are normally less for a full and final) then you would to be looking at introducing in the region of £25k+ to make an acceptable offer.

Your credit rating will be affected for 6 years regardless as you have not paid your debts in full they will issue a default notice which lasts for 6 years and that is what affects your credit rating.

As far as a certificate after 1 year i am unsure what this is, once you have settled your IVA you will be issued with a certificate of compliance, which should you choose to apply for credit a lender might ask to see this.

Carl

If you offer 40p in the £ to HSBC then, so long as your proposal accords with other protocol, you can pretty much guarantee success. Occasionally HSBC will accept a lower offer, but success cannot be guaranteed at a lower level - although with a lump sum offer you may have more of a chance.

The Certificate you refer to will be a Certificate of Due Completion which is provided to you by your IP when the case is finalised, and is your evidence of a successfully concluded IVA. It is at this point of time that the balance of your debts will be written off.