Full and Final

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Jellybeans

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Post by Jellybeans » Thu Dec 31, 2020 2:33 am
I'm currently in an iva til 2023 (credit fix)
I'm being made redundant in March21
I will be proposing a full and final based on ill health and redundancy. My iva provider have all he evidence based on my ill health .
I currently pay £400 pm
My balance is is 9813
I will contine to pay 400 for t jan / feb/ march/ april 21 which bring my balance down to 7813 .
I'm a homeowner so an extra year payment has to be added which increases my balance to £14613.
I'm.proposing to offer £10k. Is this a reasonable offer or can some please provide some guidance as to what a reasonable offer should look like.

I've spoken to my creditor about this and they were happy to put this forward once I provide them with evidence of my redundancy payment.

I've just read through some comments where offers are low and have been accepted by the creditors.

Any guidance is appreciated.

Thank you

Jellybeans

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Post by Jellybeans » Thu Dec 31, 2020 2:36 am
Sorry I forgot to say the 14813 bal is is based on me taking a payment break in Jan IF the £10k is accepted.

luluj

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Post by luluj » Thu Dec 31, 2020 4:31 am
You will be entitled to retain some of your redundancy for living costs up to 6 months normally.

In my opinion and not knowing your full circumstances, with the current situation finding new employment may not be as easy as hoped, and therefore I would consider whether using all your redundancy towards to a full and final is the right approach, or whether you would be better to hold off and save your share of the redundancy for day to day living until new employment and your health matters improve.
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kallis3

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Post by kallis3 » Thu Dec 31, 2020 8:35 am
I was allowed to use some of my redundancy pay to make a full and final a few years ago, and it was accepted. I retired at the same time with a private pension and had no problems. I appreciate times are different now but it is worth trying to see if you can get it 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.
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Foggy

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Post by Foggy » Thu Dec 31, 2020 9:55 am
It is impossible to predict what the reaction might be, as you have said, you have seen low offers accepted, But, I have also seen high ones refused ! CF will, in all likelyhood, tell you that they want more ( along with £300 to pay for the meeting), but it is your offer, not theirs.
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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Jellybeans

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Post by Jellybeans » Thu Dec 31, 2020 11:50 am
Thank you for the response.

My health wont really improve as I was diagnosed with a brain tumour. I am a single mum with 2 young children. I also feel my chances of finding employment with the salary I've been use to will be hard due to covid/health impact. Good news is I have been getting to interview stage so must be doing something right.

I was told by my creditor that I could keep £16,092 which they gave no interest in. Anything above this amount has to be paid into the iva. I will be receiving approx £16858 in redundancy.

It make sense to me to get of this debt now by offering a full and final.

Do you think £10k is a realistic amount based on the figures I mentioned earlier?

Foggy

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Post by Foggy » Thu Dec 31, 2020 12:43 pm
You are saving them 3 or 4 years messing about and, with all other circumstances, I think £10k would have legs.

Best of luck. Please let us know how you get on.
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

Jellybeans

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Post by Jellybeans » Thu Dec 31, 2020 7:42 pm
Thank you Foggy.

I've now had the opportunity to sit down and work out a realistic proposal for my creditors.

I am only able to propose £8,118 full and final against a total settlement figure of £14,213.

Can I have thoughts on this. Originally I said I could propose £10k without looking into my ongoing expenses. I've even reduced my expense by £250 to accommodate a full and final offer.

Any advice is appreciated before I go back to my creditors.
Thanks

Foggy

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Post by Foggy » Thu Dec 31, 2020 9:08 pm
£8k might be a little light ... but, you can only ask. Fingers crossed.
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

Jellybeans

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Post by Jellybeans » Thu Dec 31, 2020 9:14 pm
Thank you for your reply.
I will also have a discussion with my creditors and provide any supporting Information they need and see how I go from there.

Thank you to everyone who has responded and I wish you all a very happy new year. 😊

kallis3

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Post by kallis3 » Thu Dec 31, 2020 9:30 pm
I would not speak to your creditors - that is the job of your IP. You may find that some of the debts have been sold on so you would not kno who to speak to.
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

Jellybeans

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Post by Jellybeans » Thu Dec 31, 2020 9:38 pm
Thank Kallis3

I'm not directly in touch with my creditors ( I used the wrong terminology) Creditfix are my IP so I'm already in discussions with them .

Thanks for pointing this out to me 😊

kallis3

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Post by kallis3 » Thu Dec 31, 2020 10:09 pm
That's no problem then! Just put down all of your reasons as to why you want to do this. Perhaps a letter from your doctor/hospital would be of help.
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

Jellybeans

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Joined: Thu Dec 31, 2020 2:24 am

Post by Jellybeans » Thu Dec 31, 2020 10:13 pm
Thank you again.

Creditfix already have all my medical letters and I just need to give them my recent hospital letter where it shows a regrowth but stable for now.

I will keep you updated once I have an outcome.

Really appreciate the advice and support on this site.

kallis3

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Post by kallis3 » Thu Dec 31, 2020 10:20 pm
My thoughts are with you and I hope it goes ok.
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
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