My Iva was for 60 months and I finished paying the last payment at the end of May 2010. I have never defaulted and yesterday received a letter to say that my IP will be holding a creditors meeting on the 13th Aug to extend the IVA because of 2 modifications.Her supervisor fees have increased by £8k and failure to pay unsecured non pref creditors a minimum of 44P in the £ shall be deemed a defualt of the arrangement, she wants to pay them 37p in the £. I don't understand!!! If I have paid all they have asked for, why do the want to extend my IVA??
Hi and welcome
That is a little concerning. Why have the IP fees increased ? have you had a variation meeting at some point ? have your debts been confirmed higher than expected ?
Hopefully your creditors will reject your IPs request for extra fees and your IVA will conclude
Regards
I'm surprised at the IP fee increase as these should have been sorted out at the creditor meeting, and I would also have thought that if there was a danger of you not meeting the original dividend this should have been pointed out earlier as well.
However, I don't know the ins and outs of your case so hopefully one of the experts will be along to help.
Who is your IP?
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
It sound slike your IP is asking creditors to accept 37p in the pound rather than the 44p that was expected. As for the fees thats a strange one that 6 weeks after you make your last payment extra fees appear to be on the cards?? No acceptable in my opinion.
How long are they wanting the IVA extended by and who is your IVA firm?
Paul
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
Thank you for your replies. I am going out of my mind with this. I thought it was all over at the end of May. Can I take any action as they have sent a copy of this letter to court. My statement of affairs at the beginning claimed I owed £39,530 and she has had 6 claims that amount to £47,205.48. Supervisors Remuneration says her time costs to date total £14,423.50 (the original agreement was no more than £5875) She is asking for a removal of this modificaton. What do they do to deserve £14K?!!! I have paid £400 for 60 months as requested plus paid a lump sum of £3500. Bank interest is £1406.04 so I have paid £28,906.04. Surely if they knew what all 6 claims came to, they should have told me this before my IVA finished??? Help please, I am beside myself.
I think that your IP has about as much chance of getting her fees increased by £8k than I have of having dinner with Brad Pitt!
Are the fees based on time costs or are they fixed - and creditors will most definately want to see some sharing of the additional costs - even if they will sanction more. And they will have to demonstrate that they have carried out additional work which has added value to the case.
There may be a technical loophole you could rely on as well - you cannot vary and IVA which has expired due to its duration having been exceeded, although clearly I cannot comment further on this as I don't have detailed knowledge of your case.
Hi
Your IVA has been run on a time cost basis, this is very expensive and no longer used. My guess is that your creditors will reject part of the extra fees. Your debts have come in higher than expected and if you had a minimum dividend agreed then your IVA will have to extend until you meet this.
Have you spoken with your IP about this ? Seems very poor service to spring an extension on you now.
Who is your IVA company ?
Regards
I presume Abbey Taylor passed you over to an IP as those fees sound as though they are introducers.
Do you know the name of your actual IP?
I'd be surprised if she got them reduced as well.
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
Thank you Melanie. Who decides if my IVA is extended? They can't touch any equity in the house as it's in my husbands name.
Here is a list of her charges.
Admin & Planning £10,256.50
Realisation of assets £1417.00
Creditors £2757.00
The letter titled Summoning of creditors meetings says "Resolution"
That the estimated duration of 60 months be extended to enable the supervisor to finalise her administration of the arrangement and that modifications 12 & 13 to the arrangement be deleted with creditors receiving a minimum dividend of 37p in the £.
Mod 12 was the supervisors fees must not exceed £5875.
Mod 13 was failure to pay unsecured non pref creditors a min of £44p shall be deemed a default of the arrangement.
I have paid all I was asked to pay!! Jesus!!!!
I was passed by an introducer to Abbey Taylor, it was actually the introducer I paid. Who rejects her fees? Can I write to the court?? I'm so to keep asking these questions.
Most definately Andy - I am sure he could do with a break from Angelina every once in a while!
If you object to the proposed modifications on the basis that they were not discussed with you and that the contract cannot be amended without your agreement. As I have said earlier, it is very unlikely that creditors will agree to extend the IVA simply to pay your IP's fees, when they made it clear at the outset that fees were to be fixed.
We all write off a considerable amount of our time, due to the fixing of fees, and I will therefore be interested to hear the outcome of this matter in due course. You could also lodge a complaint against your IP if you were minded to, but I would suggest a frank discussion in the first place so that you can understand where she is coming from. There could be very good reasons for this variation being put forward - but again I would stress that this should not have been done without your input and agreement.
I still read that part of what your IP wants is to remove the mods to allow a reduced dividend although this may be to allow for higher Ip fees which at this stage is ludicrous. It will be interesting to keep up with this case as I would love to know how the IP can even try to justify such an increase in fees.
Paul
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
I think we will all be interested to see the outcome.
I hope it works in your favour Jeannette.
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
