A close family member has offered to gift the total amount

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ism
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by ism » Fri Sep 29, 2017 10:16 am
I am 48 months into a 60 month £12000 IVA with the option to extend a further 12 months for the equity release clause from my property.
i remain unemployed and survive on my military pension and support from family and friends.
a close family member has offered to gift the total amount owing unto and including the 6th year amount as i now struggle to meet the payments each month due to county court ordered alimony payments to my ex wife.
what is the probability of my creditors accepting the offer?
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Foggy
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by Foggy » Fri Sep 29, 2017 10:36 am
ism wrote:
I am 48 months into a 60 month £12000 IVA with the option to extend a further 12 months for the equity release clause from my property.
i remain unemployed and survive on my military pension and support from family and friends.
a close family member has offered to gift the total amount owing unto and including the 6th year amount as i now struggle to meet the payments each month due to county court ordered alimony payments to my ex wife.
what is the probability of my creditors accepting the offer?



A full and final offer based on the number of payments outstanding (including the 12 month extension) multiplied by the current monthly payment is often an attractive proposition for creditors -- it saves them in administration costs as well as allowing them to remove the toxic debt from their books earlier.

Assuming your payments are £200 a month and you have 24 to make, your creditors are expecting around £4,800 -- I would think an offer of £4k would be looked at seriously.
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kallis3
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by kallis3 » Fri Sep 29, 2017 10:38 am
Agree with Foggy - sounds like a good offer.
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Michael Peoples
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by Michael Peoples » Fri Sep 29, 2017 11:06 am
That amount of an offer would be very attractive to creditors. Indeed they may even allow the IVA to close with a lower amount or possibly payments to date given your current circumstances. Creditors can be very sympathetic to former members of the military.
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sheraz.butt
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by sheraz.butt » Fri Sep 29, 2017 11:38 am
Yes I don't see them not accepting that as it is very reasonable considering your situation.
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