What happened to our IVA payments?

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Hayley.dl

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Post by Hayley.dl » Tue Apr 16, 2019 3:08 pm
My ex-husband and I were not advised that one of us could have gone bankrupt, i.e. me, and he could have entered into an IVA. We were told that we both had to enter into it for one to work, and that our monthly payments to them would be between £288.00 and £309.00 for the first 6 months. This meant that we would be paying the IVA Firm around £1,800.00 in fees for the first six months, and once they had been paid their fees, then the creditors would be getting their dividend of the pot. However, upon speaking to our creditors 18 months after entering into the IVA (prior to it failing), not a single one of them got a penny. So, where did the monies from the Dec 2011-Feb 2013 period end up?

We felt that we had been conned and badly mislead by the IVA Company.

I did complain to them in writing in 2013/2014, but all they said that as it failed due to non-payment in 2013 (when we experienced a major difficulty with our incomes which we told them about), there was not much they would do about it. They failed to answer my questions about money being sent to creditors once the fees had been paid.

Foggy

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Post by Foggy » Tue Apr 16, 2019 3:41 pm
It is usual for the Nominees fees to be paid first -- sometimes limited to the first 6 or 12 months payment, sometimes the full amount. Thereafter they take an agreed amount (typically 15%) plus expenses for Supervisors fees, as agreed and laid out in the proposal and Chairman's Report of the initial meeting.

There might not be much that they could do about the failure, but that does not absolved them of the responsibility to be able to account for the monies you paid in. You are entitled to see a statement of account and challenge it, if needs be.

I would write directly to the IP, by name, rerquesting an explanation and, if it is not forthcoming you can escalate the complaint to their regulatory body, via the Government Gateway at: https://www.gov.uk/complain-about-insol ... actitioner
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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kallis3

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Post by kallis3 » Tue Apr 16, 2019 4:07 pm
Which company were you with?
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.
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Lisa Thomas

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Post by Lisa Thomas » Wed Apr 17, 2019 8:15 am
All figures will have been contained in the final termination report and, especially in the Receipts & Payments.

I suspect as it failed relatively quickly there were probably no funds available for any dividend as the funds will have gone on costs.
I'm a licensed IP with 16+ yrs at Neville & Co covering the South West area. I have a YouTube channel with advisory videos on here: https://www.youtube.com/channel/UCMPTTu ... Z5k9ZcC2MA http://www.nevilleco.co.uk 01752 786800 Lisa@nevilleco.co.uk
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