F&F question

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sophie598

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Post by sophie598 » Sat Jan 30, 2021 10:11 am
Hello,

I have been in an IVA for 3 years. There will be no mortgage to release equity in the 5th year. I pay £277 per month, and my original debt was 12k.

I have offered IVA credit fix (£277x24= £6648) as a F &F offer. I’m waiting to hear from them. Basically, I’m in the British army, but due to IVA I’m struggling to get bigger security clearances and better job roles, hence affecting my career.

I’m getting the money from my close friend as a gift.

Q1. What are the chances of being accepted ?
2. What docs do they need from my friend ? ( money coming from)
3. Do they stop my payments being taken once the IP takes the matter to creditors ? As I’ve just had a pay increase and bonus, I don’t want to pay them if my IVA is getting settled early ?
Ps: they have also just done my I&E annual revenues a couple of days ago. Next one is not due for next 12 months.

Thank you in advance
n grg

Foggy

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Post by Foggy » Sat Jan 30, 2021 10:35 am
If your IVA payment is due to increase as a result of your I&E they would, generally expect the offer to be based on the remaining, increased, payments. But, as F&F offers are often reduced to account to 'time saved', this will probably not be an issue. Added to this, your creditors appear to be getting a remarkably good dividend in any case !

They will want to see evidence that the money is available (donors bank statement) as well as proof of ID of the donor and the money should be paid direct to the IP by the donor, in due course, NOT via your own bank account.

Unless otherwise agreed, regular payments should continue while the offer is being prepared and considered. This, to my mind, encourages the firm (CF) to 'drag it's feet' to get a couple of extra payments from you ( many fee structures are based on realisations). This is usually countered by either, and easiest, agreeing a payment break during this process or by stating in the offer that payments made after a given date will be deducted from the lump sum.

With regards to security clearances etc. the IVA will be removed from the Insolvency Register within three months of completion (which could be a few months after the final payment) but it will remain on your credit reference agencies files, although marked 'completed', for 6 years from the start date of the arrangement.

Best of luck.
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

sophie598

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Post by sophie598 » Sat Jan 30, 2021 11:19 am
Thank you very much for the reply foggy, you have been great for all of us here.

I forgot to mention my IVA payments is due to remain the same after I and E anupa review.

How easy is it to agree a payment break until the offer is being prepared, considered and accepted ?

Or shall I use the Second option ie to state in the offer, that payment made after a given date will be deducted from lump sum ?

Thank you again
n grg

Foggy

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Post by Foggy » Sat Jan 30, 2021 1:36 pm
You are welcome, Sophie.

When I did my F&F I simply asked the IP for a break and he said yes ... simple as that (but in writing --- just in case!). If the offer is rejected the break just gets tacked on at the end of the IVA. The IP has discretion to agree without reference to creditors.
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

sophie598

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Post by sophie598 » Sat Jan 30, 2021 10:01 pm
Last question foggy, you know when you said - They will want to see evidence that the money is available (donors bank statement). When do they want it ? Right away when I ring the Iva (CF) or at last before the donor pays to IP or creditors ?
n grg

kallis3

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Post by kallis3 » Sat Jan 30, 2021 10:07 pm
They will need it once the offer goes in. If the offer is accepted it will then be paid across to CF who will then settle with the creditors. Make sure they know the money is only available for the full and final and will be withdrawn if not accepted.
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

Foggy

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Post by Foggy » Sun Jan 31, 2021 10:44 am
Sat Jan 30, 2021 10:01 pmsophie598 wrote:
Last question foggy, you know when you said - They will want to see evidence that the money is available (donors bank statement). When do they want it ? Right away when I ring the Iva (CF) or at last before the donor pays to IP or creditors ?
As Kallis says -- they will want to see evidence of the funds before making the offer to the creditors, so that they know they are not wasting everyone's time offering money that might not materialise. It is difficult when you are with CF as they do tend to buck the trend and do things their own way (not usually to our benefit). But what we have described is the 'historical norm' !
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

sophie598

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Post by sophie598 » Sun Jan 31, 2021 10:48 am
Thank you both for your reply, keeping my fingers crossed, hoping I’ll get a positive outcome after all this. Thanks for your advice, very much appreciated.
n grg

kallis3

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Post by kallis3 » Sun Jan 31, 2021 12:54 pm
Good luck, let us know how you get on.
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

sophie598

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Post by sophie598 » Sun Jan 31, 2021 10:56 pm
Thank you :D I’ll let you know here how I get on.
Also,
When they check the evidence of donor’s fund ie, bank statement, do they care how he got the money in his account ?

my donor is my close friend, he was just wondering if they will perform a credit check on their account.

Thank you 😊
n grg

kallis3

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Post by kallis3 » Mon Feb 01, 2021 8:19 am
They won't do a credit check but they will need to see a bank statement. Most of these checks are to do with money laundering and are nothing to worry about. They won't care where the money came from (unless he has robbed a bank :lol: ).
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

sophie598

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Post by sophie598 » Mon Feb 01, 2021 8:24 am
Haha, thank you 😊 I’ll deffo give a call today to IVA, feel more at ease now. :D
n grg
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