original debt figure or the oustanding balance?

[dso]

Hi anyone,
After my IVA went through a couple of years ago,my agreed balance was £16,000 (being 33% of the original debt plus IP fees)However, l'm presently left with £11,000.Now, to make a lump sum one off final payment,what figure would my creditors consider before they either agree or disagree Is it the original debt figure or the oustanding balance of £11000? Thanks

[sps]

Hi
I think it would be the original debt figure less any payments made and the IP fees but one of the experts will confirm this

[MelanieGiles]

Hi dso

If I have understood your question correctly, your IVA was based upon you contributing an aggregate £16,000 over a five year period, and you have already paid £5,000 towards that.

Your creditors may accept a lower sum than the £11,000, as they could discount the benefit of receiving a final payment earlier, and of course there would be savings in IP fees as well. You should ask your insolvency practitioner to give you a settlement figure based upon achieving a 33% return to creditors now, and then see if there is any further room for negotiation depending upon your current circumstances.

Where is the lump sum coming from as a matter of interest?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[dso]

Hi Melanie,
Thanks for your clarification. My local church,friends and families are bailing me out hopefully before the end of the year,God willing.
dso.

[neverending]

Hi DSO
Keep looking at this forum because I am in the process of offering a full anf final settlememt and you will be able to learn from my experience.For info I am offering a final dividend of 32p as oppossed to my agreed return of 29p.........a bit of a sweetener hoping that my creditors accept

[MelanieGiles]

Neverending

I hope that you will not give up on the forum when your IVA is done and dusted! We will still need your valued input!

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[neverending]

Melanie
Thought I was the only one burning the mid night oil ???
No far from it,I,m seriously thinking about a career change if my IVA gets sorted out.Maybe working for an Insolvency firm and visiting people for their initial consultation........I,ve just turned forty and this year could well be where life starts !!!