www.iva.co.uk

Hello,

I would firstly like to start of by saying thankyou to anyone who replies to my questions and what a fantastic job this site is doing.

I am in an IVA. I am paying £412 per month for 6 years. I have paid into my IVA for 9 months now and my father has decided he has had enough and help me out.

I had an original Debt of £56,700. I am paying a total , over 6 years of £29,000 to my creditors (including all IP fees). so my creditors will get approximatly £20,000.

I would like to know would a settlement figure of £10,000 be enough, which is coming out of my dads savings.combine this with funds already paid in amounts to approximatly £15,000.

this would mean the creditors will get £15,000 instead of the £20,000 over 6 years.

I have just been told that most of my big debts have been sold on to other companies too.

I would also, like to know will money be taken out for IP fees that i have paid in during my first year? This will mean my proposition will be lower that £15,000.

thank you

I am no expert and although companies like to get something back sooner rather than later I think they may want more than you are offering.
Maybe an expert will be able to offer a more accurate take on things.
You will find that your IP fees will be higher than you think most probably,even if you are looking to offer a full and final. You may be best to ask your IP if your offer is worth putting to your creditors.

Good luck.

Paul

I don't understand your figures - 72 x £412 = £29,664 - so £15,000 would be nowhere near enough to persuade creditors to settle after 9 months I am afraid.

Read your proposal for details of the IP's fees which would be discounted in the event of an early settlement.

i would think you will be lucky if you are allowed a variation after 9 months unless you were paying the full dividend expected and the 10k is well low in my opinion you need to be looking at closer to 20k plus monies already paid[:(]

MelanieGiles wrote:

I don't understand your figures - 72 x £412 = £29,664 - so £15,000 would be nowhere near enough to persuade creditors to settle after 9 months I am afraid.

Read your proposal for details of the IP's fees which would be discounted in the event of an early settlement.

Hi
I’m sorry for the confusion as to figures but this is what I am hoping to do.

My IVA arrangement £412 x 72 = £29,664
IP fees for full IVA duration £3,000 + (1,200x6) = [£10,200]
Total creditors get £19,464

My current situation:

Paid into IVA for 10 months £412 x 10 = £4120
IP fees first year £3,000 + 1,200 = [£4,200]

Total -£80.00

My father would like to pay £14,000 as a lump sum = £13,920

Thus the creditors will get £13,920 instead of £19,464 if the waited the full six years.

Am I correct in thinking this or am I missing anything from these figures?

Is their usually an IP fee for variation or F&F settlement?

regards

K_R

yes there will be a charge for finishing early here is my non proffesional opinion what you will need to finish it total debt £29,664 - monies paid £4,120=£25,544 i would think you will save 4k on fees so you still need to be looking at 15/20k to finish early you could try offering less as debts have been sold on but i wouldnt get my hopes up on less than 20k

The offer still looks on the low side to me.