I’ve recently asked debt movement for a final settlement figure, I thought I could settle in full as my father passed away last year and left me enough money to clear the IVA.
Unfortunately for me not only do they want what’s due( supervisor fee, set up fee and paying off all creditors but from some where the have sprung £17000 plus of extra charges!!!!!
If it would help to explain them I have them fully listed !! They have charged me IT costs , for example Please can u help me with this?
If you asked for a 'settlement' figure you would need to pay back the whole of your original debt plus fees and possible statutory interest, not just the IVA figure. I'm afraid that your inheritance will be snatched up to put towards paying your creditors and, if it's not enough to pay in full, your IVA will continue. I can't help you with the breakdown of fees but I suspect the remaining amount may be the rest of your debt.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
The fee structure will be detailed in your paperwork -- often in the original proposal but usually amended in the Chairman's Report of the initial meeting. These will include Nominees fees for setting up the IVA ( usually around £1500 - £2000), Supervisors fees for running the IVA (often a percentage of realisations -- between 15% and 20%, sometimes higher) and disbursements: IT fees, licences, stationary, etc., etc. (these shouldn't, I would think, exceed £1000).
In a settlement figure there is, as Kallis mentioned, the balance of the full original debt, those fees above and possible statutory interest (8% p.a simple interest calculated daily on the decreasing debt balance).
An inheritance is drawn into the IVA up to the settlement amount and any excess passed back to you. Often creditors are asked to forgive statutory interest and, most times I have seen this, they agree.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014 http://foggy.blogs.iva.co.uk