IVA charges

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Lisa Thomas
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by Lisa Thomas » Wed May 17, 2017 9:19 am
Creditors agreed to it and the interest rate is probably cheaper than the contractual interest that would have applied had the IVA not been put in place.
mickhaynes2
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by mickhaynes2 » Wed May 17, 2017 2:31 pm
Just had my Statement through, for completion, I have been charged,
£2000 Nominee Fee
£12,225, Supervisors fees
I've paid in £15,600,
so after 38 months I have basically paid £775 of my Debt,
surely this cant be correct
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Lisa Thomas
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by Lisa Thomas » Wed May 17, 2017 3:22 pm
Nominee fee is reasonable.

The Supervisors fees seems a bit high - were they on a timespent basis or at a % rate?

What was the original estimated costs in the proposals?
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Foggy
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by Foggy » Wed May 17, 2017 3:23 pm
mickhaynes2 wrote:
Just had my Statement through, for completion, I have been charged,
£2000 Nominee Fee
£12,225, Supervisors fees
I've paid in £15,600,
so after 38 months I have basically paid £775 of my Debt,
surely this cant be correct



Check your proposal and Chairman's Report to see what fees were agreed --- by my reckoning there is a "1" in front of the Supervisors fees that shouldn't be there !
mickhaynes2
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by mickhaynes2 » Wed May 17, 2017 3:59 pm
AS of February this year I owed £7,602 so to close my Iva has cost me another £5000,
I cannot find anything in original Proposal, apparently fee is charged on percentage basis
it just seems very steep to me, who can I get advice from,, Citizen advice
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Foggy
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by Foggy » Wed May 17, 2017 4:16 pm
mickhaynes2 wrote:
AS of February this year I owed £7,602 so to close my Iva has cost me another £5000,
I cannot find anything in original Proposal, apparently fee is charged on percentage basis
it just seems very steep to me, who can I get advice from,, Citizen advice


Creditors usually go for 15% fees, although a few firms have tried amending this to 20 - 23% by variation when acquiring case loads. I have heard of a few refusals of this variation, but not of acceptances.

The final agreement regarding fees will be in the Chairman's Report, which overrides the proposal as to what was agreed at the initial meeting.
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Lisa Thomas
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by Lisa Thomas » Thu May 18, 2017 8:39 am
What % were the costs set at?
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Lisa Thomas
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by Lisa Thomas » Thu May 18, 2017 8:40 am
an if you want to complain you need to follow the IP firms complaints procedure and then follow up here if not resolved:

https://www.gov.uk/complain-about-insol ... actitioner
mickhaynes2
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by mickhaynes2 » Thu May 18, 2017 12:02 pm
Hi Lisa, thank you for your replies, all I want to know is, if the fees are fair

Just had my Statement through, for completion, I have been charged,
£2000 Nominee Fee
[£12,225, Supervisors fees]
I've paid in £15,600,
so after 38 months I have basically paid £775 of my Debt,
surely this cant be correct
February £2700,,,,,now its gone up to £12.225

I cant see where its supposed to say about costs
My solicitor is due to pay my IP tomorrow
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Lisa Thomas
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by Lisa Thomas » Thu May 18, 2017 12:21 pm
If you look in your proposals it will have a whole section about Supervisors costs and their basis. Then in the Chairmans report it will say whether they have been any modifications.
mickhaynes2
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by mickhaynes2 » Thu May 18, 2017 2:54 pm
Hi again, yes ive found them now, I just need to know, if the figure seem ok,
as I'm paying tomorrow, it just seems a lot about £2700 per year,
for 3 years, but now the total has gone up to over 12 so that's 5000 extra for me completing.
Early through Inherritance
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Foggy
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by Foggy » Thu May 18, 2017 3:01 pm
mickhaynes2 wrote:
Hi again, yes ive found them now, I just need to know, if the figure seem ok,
as I'm paying tomorrow, it just seems a lot about £2700 per year,
for 3 years, but now the total has gone up to over 12 so that's 5000 extra for me completing.
Early through Inherritance



What does the Proposal / Chairman's Report say ?
mickhaynes2
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by mickhaynes2 » Thu May 18, 2017 3:12 pm
It doesn't mention anything about fees
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Lisa Thomas
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by Lisa Thomas » Thu May 18, 2017 3:32 pm
It must do - otherwise they can't be paid anything.

There will be a section in there about the Nominee and Supervisors fees - what basis they are calculated at (fixed, percentage, time spent) and the initial estimate.

If you want to email it to me I can take a look for you.
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Foggy
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by Foggy » Thu May 18, 2017 3:35 pm
Mick -- without knowing what was agreed we cannot comment on whether the fees you have been quoted are fair or correct. On the face of it they look rather high -- but, if that was what was agreed then that is what they should be.
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