Hi if i am paying £150 per month and I have 39 months left this would equal £5850 , I have an offer of £4500 full and final settlement from a family member , I have been told by my company that it is not a good offer and will probably get denied?
I wonder is there any ryme or reason to acceptance on full and final offers?
Basically a creditor would look at what they are due to get under the terms of the arrangement, if it goes to term. They would also look at the costs they might be saving in time and admin if it ends early. One can be rounded down by the other. Bear in mind that a variation meeting would add around £300 - £500 to the fees.
When Aperture first introduced Early Repayment Loans, they suggested a reduction of 10% per year saved --- however, I do believe that this had a mixed reaction.
I would have thought that £4.5k was worth a shot -- in any event, it is for the creditors to decide, not the provider. This is assuming you rent your home -- being a homeowner would alter creditor expecations.
Also bear in mind that these things take around three months to get organised, so you would have made £450 more in payments in the meantime.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Thanks Foggy
The company i am with dont seem to think this will be accepted
But reading alot of theeads it seems no ip can ever truly know the outcome
One thing for sure the waiting is terrible
Its definitely your decision to offer a full and final. Your IVA company should go with your request and let creditors decide. However, saying that, they do hold years of experience around how creditors see F&F offers - have they explained why they feel the offer won't be accepted?
As foggy has said £4500 plus payments until it us offered / accepted is almost what they would be getting if the iva ran its course.
Sharing from experiences of dealing with debt
There is a solution for everyone .... Just need to stay positive !
At the end of the day it's not up to your IP, the decision is up to your creditors, although the IP will write a report about the variation to the reditors so they could influence their decision.
Make sure to insist that they put a copy of your covering letter to the creditors with the variation proposal and ask to see a copy of their report before it gets sent to creditors.
Hi is it possible to change your iva company part way through
E.g if a new company took over and they are speaking out of turn and you are just not happy
What option do you have
Unfortunately you are stuck with the company - it would cost too much to change. You can always put in a complaint about them
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
