Around 3 years ago I took out an IVA with Creditfix, this has been running (I cant say well) until recently when I was told I would be coming into some inheritance from my deceased Wifes estate. Upon speaking to the solicitors I was told that they would do a check for bankruptcy etc before releasing any funds to myself, when I explained that I was actually in an IVA they said that any funds would (understandably) have to be paid off this first before the remainder could be sent to me. I was asked for a full and final settlement figure by the solicitors which I requested from my IVA company (Creditfix), this took forever and the gentlman I had to speak with was barely understandable at the best of times. The repaiment amount eventually came back at over £23,100, the original amount of the debt was aprox £18,000 and I had paid roughly £1800 into the IVA in 3 years. When I balked at how much it was I emailed Creditfix and asked for a breakdown of the repayment amount, this took several emails and weeks before it was eventually received. Upon examining the breakdown the amount they had said I'd repaid was short by over £200, I emailed them and after yet another lengthy wait I get another email containing yet another breakdown saying that my final repayment amount has gone up by nearly £300!! I asked why and eventually just got the reply that "The amount will change" no explanation, no explanation of what extra fee's hav e been applied in two weeks, nothing.
Creditfix is aware of my inheritance, they do not know how much I will be getting, neither frankly do I. The solicitors has said that legally they can only release funds to my IVA company first (which I can understand) but I feel now that Creditfix ave smelled blood and as such are just making up fee's etc to extort as much money from me as possible. All I want is to clear my IVA (once the funds are finally available) but not at the cost of lining their pockets and leaving me yet again with little to nothing.
Is there a way I can clear my IVA without going through Creditfix? or to reduce the ridiculous amount they're trying to charge me? I need this money to get my life back on track etc and it makes me feel physically sick to think that this company is going to get as much as its asking for.
Sorry for your loss. Unfortunately you will always owe the full amount of your debts plus fees and possible statutory interest and your inheritance will go towards that and anything left over will go to you,
CF are known for high fees but nothing you can do about that. If you do let your IVA fail you will still have to pay your debts in full and may find that interest and charges are added before you can clear it.
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
As said, CF are among the highest charging firm, but the fees structure will be in your Chairman's Report, so you can have a stab at working this element out yourself. The money you paid in so far would almost all go towards nominees fees ( for preparing the IVA in the first instance), leaving the original debt so fart almost untouched.
The amount for settlement, if they have, as is likely, included statutory interest will change daily because the interest element is calculated on simple interest of 8% per annum on a daily basis.
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