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W700
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by W700 » Wed Jan 20, 2010 8:07 pm
is it worth shopping around for an insolvency practitioner as i have been quoted a monthly repayment of 177 to write off 14k of around 28k of debt. How do i know if this is a resonable amount

 

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Skippy
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by Skippy » Wed Jan 20, 2010 8:43 pm
Hi and welcome to the forum.

Do you feel that you can afford the payments? An IVA is based on your disposable income after your living costs.

If your IVA hasn't been approved there is nothing to stop you taking a second or third opinion, and please don't agree to payments that you cannot afford.

 

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Shining
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by Shining » Wed Jan 20, 2010 9:17 pm
Hi and welcome to the forum from myself too, Skippy is right do not accept anything you cannot afford as it will set you up for failure within an IVA.

Take a look at www.iva.com there you will find a list of companies and some reviews, take some free impartial advice from 2 or 3 companies.

 

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plasticdaft
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by plasticdaft » Wed Jan 20, 2010 11:31 pm
W700 wrote:


is it worth shopping around for an insolvency practitioner as i have been quoted a monthly repayment of 177 to write off 14k of around 28k of debt. How do i know if this is a resonable amount


You cant select an IP on how much they claim they can get written off. If you have more disposable income in years 2,3,4,5 and possibly 6 then you pay back what you can afford.

I cant understand for the life of me why insolvency firms have to point out to potential customers how much their average write off is,it really is totally irrelevant.

Do talk to 2 or 3 companies but base your decision on who to work with on who you feel most comfortable with. Selection based on write off % WILL end in an IVA failing in my opinion.

Paul

 

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plasticdaft
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by plasticdaft » Wed Jan 20, 2010 11:34 pm
Should add that paying £177 a month on 28k of debt would be a pretty low return for creditors,and whilst a good IP may get an IVA accepted at that level,you would probably be expected to run the IVA for 6 years.

 

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MelanieGiles
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by MelanieGiles » Thu Jan 21, 2010 12:32 am
The only test of reasonableness you should be applying is do you feel you can afford the payments? Or do you feel that you could afford to pay any more?

 

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size5
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by size5 » Thu Jan 21, 2010 8:47 am
£177 per month is lower than some firms will deal with, but if that is a fair reflection on what you can afford then so be it.

I too am not a fan of quoting how much can be written off simply because nothing is forgiven unless and until the VA concludes. A lot can happen in 5 years. Take a 2nd or 3rd opinion, but ultimately the idea is to be fair and reasonable, so if that is a true figure for you then fair enough.

Regards.
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