Lump sum offer

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rosepetal1

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Post by rosepetal1 » Mon Feb 15, 2021 9:50 pm
I am in my first year of IVA and have a monthly payment of 330£ my full debt was around 83000£ I won a property but no equity left there now because of Corona Things are not as it was planned
My question can I pay a lum sum and how much is a reasonable amount to offer which may accepted as amount will come as support by family member non returnable

rosepetal1

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Joined: Mon Feb 15, 2021 7:07 pm

Post by rosepetal1 » Mon Feb 15, 2021 9:54 pm
Mon Feb 15, 2021 9:50 pmrosepetal1 wrote:
I am in my first year of IVA and have a monthly payment of 330£ my full debt was around 83000£ I own a property but no equity left there now because of Corona Things are not as it was planned
My question can I pay a lum sum and how much is a reasonable amount to offer which may accepted as amount will come as support by family member non returnable

Foggy

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Post by Foggy » Tue Feb 16, 2021 7:57 am
Afull and final offer is based on remaining payments. As you are a homewowner, it is customary to add in the 12 extra payments in lieu of equity release. I know you say you have no equity at the moment, but the creditors will be looking at whether there will be any at the end of the arrangement --- things change.

So, you have, let's say you are at the end of the first year ( some IVA's have a clause barring early payments in the first 6 months or first year). You will have 48 + 12 payments left ....So 60 x 330 = 19,800. Of course, if you can make the creditors accept that there will be no equity coming, you could try to knock off those 12 extra payments, meaning the offer would be based on £15,840 (48 x 330)

Bearing in mind that you would be saving everybody 4 or 5 years of messing about with dividends, you have room to reduce this a little ---- but, of course, the higher the offer the more chance it will be accepted. I have seen very low offers accepted, yet very high ones refused ! Were it my IVA, I would go in with around £15k, including those 12 months ( or £12k without the equity element --- which would be a harder sell).
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

rosepetal1

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Joined: Mon Feb 15, 2021 7:07 pm

Post by rosepetal1 » Fri Feb 26, 2021 1:17 am
Thanks I will try the 15k rule.thanks for the help

luluj

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Post by luluj » Fri Feb 26, 2021 1:52 am
Good luck- let us know how you get on
Sharing from experiences of dealing with debt

There is a solution for everyone .... Just need to stay positive !

Look at my blog "All I wanted was a baby"

rosepetal1

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Joined: Mon Feb 15, 2021 7:07 pm

Post by rosepetal1 » Fri Apr 02, 2021 6:29 pm
How Much Should I Offer,I am a Home Owner and Property Is On My and My Wife Name.At the Time I apply For Iva Its been Establish that there is no Equity Left In property Under My Name.So Iva is Was the better Option Rather then Bankruptcy.
My Friend Want To Help me to get rid of this I am currently on my First year and already paid off 10 installments amounting 330 each month.
Wanted to get rid off this what will be the best acceptable offer is.
what are the documents required by IP and whats the logical reason to give as this is only help from one of my family friend

kallis3

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Post by kallis3 » Fri Apr 02, 2021 6:43 pm
I believe Foggy answered your question in a previous post, he reckoned about £15k or possibly slightly less.

Your IP will require a bank statement from your friend and a letter stating that the money is only available for a full and final offer and will not be available otherwise. You can just say that you want it out of the way and to start to rebuild your life debt free although, as Foggy says, your credit will be shot for the full six years. It will take a couple of months to sort out.
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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