Full & Final Settlement

[ValiantGal]

Hi All

I've put forward a F&FS in with my IVA company, who have given me a date for the hearing.

I've got a couple of questions that I was wondering if you would know.

1. How many creditors need to agree with the settlement
2. What would happen if no credit responded

Thanks in advance

[MelanieGiles]

You still need to get a 75% majority of votes from those creditors attending the meeting - but if only one creditor votes in favour then this is deemed to be 100% acceptance.

If no votes are cast then the variation is not accepted - but in reality your IP will chase up at least one vote if he/she needs to.

[ValiantGal]

Thanks for the very prompt reply Melanie!

My IVA company are still waiting for one of the creditors to contact them and i'm 2 years into repaying my IVA.

If it's accepted and they haven't been in contact again, would this have any bearing in the future? Could they come after me for the full debt?

[MelanieGiles]

Two years is a very long time to be waiting for a creditor's claim to be submitted, unless the creditors is H M Revenue & Customs.

Your IP needs to serve notice on the creditor to prove its claim within the next 21 days, failure to do so resulting in them being excluded from the dividends for good, with no ultimate comeback on you once the IVA has concluded.

[ValiantGal]

I've just had a look at the F&FS documents.

Under the dividend prospects- it is listed that 1 creditor claims outstanding. Still awaiting them to prove their liability in this arrangement. Notice of Intended Dividend has been circulated accordingly.

They (Co-op) seem rather slow of the mark!

[MelanieGiles]

Very strange - they are normally very quick off the mark in my experience.