Deeply worried by inheritance options

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pennylane
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by pennylane » Tue Dec 19, 2017 8:29 pm
My husband took an IVA out two and a half years ago, ball park figure 12k he has been paying £70 a month since, he has recently been left 30k from his father who sadly passed away, he told the IP and to arrange a settlement figure,they said they will offer 8.5, but they have come back today with a figure of 14k! thats 8.5 grand over what he actually owes, they have given him three options, and the 14k could be reduced to 11k but that means hes paid 6 grand to the IVA company, is this standard practice? He is really worried, we were hoping this money could put us back on an even keel but he would lose half of it, in one swoop...if we had know we were paying 8 thousand pounds we would bever have gone through with it :( Deeply worried and unhappy right now
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Foggy
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by Foggy » Tue Dec 19, 2017 9:02 pm
During an IVA you always owe the full original debt, plus fees and possible statutory interest. To pay the debt in full on around £12k over 2 and a half years, this would be around £17k. He has paid around £2100 -- leaving £14,900 outstanding .... which is nigh on the sum they are asking for ... so, yes, I am afraid they are correct. I imagine the reduction to £11k would be down to them asking the creditors to forgive the statutory interest element (which sounds about right numbers wise).
pennylane
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by pennylane » Wed Dec 20, 2017 7:07 am
Wow..ok thanks Foggy for your reply, Seems so harsh, the IP have tried to neg a deal but they are standing firm with the 100p pay back :/ A hard lesson to learn.
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Lisa Thomas
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by Lisa Thomas » Wed Dec 20, 2017 9:53 am
You might be able to ask creditors if they will waive their right to statutory interest (if the terms included interest), which could get things down a little.
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Lisa Thomas
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by Lisa Thomas » Wed Dec 20, 2017 9:53 am
My short video on windfalls here:

https://youtu.be/L8M98FI5OqQ
pennylane
Posts: 3
by pennylane » Wed Dec 20, 2017 10:02 am
Lisa Thomas wrote:
My short video on windfalls here:

https://youtu.be/L8M98FI5OqQ


Thanks Lisa, hubby got all upset yesterday when then IP said "windfall" its a rather unfortunate phrase, he would much rather have is dad here then his 30 grand :cry:
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