Full and Final settlement

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ilx_smithy123

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Post by ilx_smithy123 » Wed Nov 07, 2018 8:55 am
Hello, I’m currently in an IVA and have done for 2 years now. I was £13,000 in debt and paid off £6800 already, I had some money available and also my dads going to help me pay off the remaining debt as a full and final settlement which I already put forward. I offered £5000 to clear my IVA, but before I asked to put a full and final settlement in, I contacted one creditor and Made an offer to clear there debt with them as I was gunna terminate the IVA and do everything myself but realised that my Iva wasn’t paying money to the other creditor, I’m guessing until the IVA was complete. “They accepted the offer which is good but now bad as I’ve Put in a F/F settlement. Can it now affect me getting accepted for my offer, hope you can help, Thanks

Foggy

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Post by Foggy » Wed Nov 07, 2018 9:16 am
You should not have made the offer but, more importantly, they should not have accepted !!! This could be grounds to flush the whole arrangement down the toilet. What happens now depends on what this creditor decides to do when informed of the F&F offer.

I would stick to the story that, as soon as you realised that the offer should not have been made, you withdrew it, and had no intention of proceeding. Hopefully, though, the F&F will run it's course and get accepted.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
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ilx_smithy123

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Post by ilx_smithy123 » Wed Nov 07, 2018 9:47 am
Foggy wrote:
You should not have made the offer but, more importantly, they should not have accepted !!! This could be grounds to flush the whole arrangement down the toilet. What happens now depends on what this creditor decides to do when informed of the F&F offer.

I would stick to the story that, as soon as you realised that the offer should not have been made, you withdrew it, and had no intention of proceeding. Hopefully, though, the F&F will run it's course and get accepted.
It was before I made the F/F and they contacted me saying they accepted the offer and I told them the IVA company is going to be in touch in regards to a F/F settlement so I’m hoping to get away with it.

Shaun Vickery

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Post by Shaun Vickery » Wed Nov 07, 2018 9:57 am
The problem with this, at least as I understand it and as you probably now know, is that in an IVA all creditors should get an equal share of what is repaid, whereas one creditor could have been 'preferred'.

The fact that no money has changed hands should hopefully mean that there are no repercussions.
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ilx_smithy123

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Post by ilx_smithy123 » Wed Nov 07, 2018 10:17 am
Shaun Vickery wrote:
The problem with this, at least as I understand it and as you probably now know, is that in an IVA all creditors should get an equal share of what is repaid, whereas one creditor could have been 'preferred'.

The fact that no money has changed hands should hopefully mean that there are no repercussions.

Great, I was trying to find the quickest way of getting out of the IVA so I made the error but realised and now hope that it doesn’t affect my F/F. How long does it normally take for the creditors meeting, I handed all the documents in 2 days ago.

kallis3

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Post by kallis3 » Wed Nov 07, 2018 10:30 am
Up to 28 days for a meeting to be called if I remember correctly.
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Lisa Thomas

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Post by Lisa Thomas » Wed Nov 07, 2018 10:59 am
See if you can withdraw the offer.
I'm a licensed IP with 16+ yrs at Neville & Co covering the South West area. I have a YouTube channel with advisory videos on here: https://www.youtube.com/channel/UCMPTTu ... Z5k9ZcC2MA http://www.nevilleco.co.uk 01752 786800 Lisa@nevilleco.co.uk

Lisa Thomas

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Post by Lisa Thomas » Wed Nov 07, 2018 11:00 am
*the direct settlement offer, not the F&F offer.
I'm a licensed IP with 16+ yrs at Neville & Co covering the South West area. I have a YouTube channel with advisory videos on here: https://www.youtube.com/channel/UCMPTTu ... Z5k9ZcC2MA http://www.nevilleco.co.uk 01752 786800 Lisa@nevilleco.co.uk
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