I have been in a iva for nearly 4 years now under simple debt solutions. I received a letter yesterday advising me that Credit Fix of Glasgow had acquired simple debt and that the first thing they want is me to agree to them asking for 23% commission form my creditors rather than 15%. Not sure what to do as seems a big increase and how will this affect my payments (is this not just the company trying to get more money from my creditors even though a plan has been in place for 4 years)
Seems to be par for the course when a firm's portfolio is bought. GT did exactly the same thing when they took over from BE, who I was with at the start of my IVA.
Last Payment made 04/12/14. Completion Certificate 25/7/15. IVA company GT. No Issues
I assume that you mean they are seeking an increase in their fees to 23% from 15%? IPs do not get paid on the basis of commissions.
I do not understand why there is a need to increase fees just because cases have been acquired - however a fee level of 15% is particularly low and does cause an awful lot of IP firms difficulty in providing a complete service - and also does not take account of complexities in individual cases.
If you are not going to be repaying your creditors in full during the course of the IVA, then the increased IP fees will largely unaffect you personally, but I would be definitely interested to know what arguments your IP is using to persuade creditors to allow higher fees to be charged. After all what is good for one firm ought to be good for all of us!
Yes it is an increase of fees, but the first I knew that my old Ip was taken over was when I received the letter wanting me to increase to 23%. Im not great with finances as you are probably aware since im on an IVA but just worried that I think I have a year left to take my iva upto 5 years that this change may affect me.
I agree with you but as Im not good with finances I have put my faith in companies who tell you they have your best interest at heart but I don't know the law and have to put my faith in the companies that they can get the best deal possible
