confused

[Stoney Broke]

I have just found this forum and wanted to say what a fantastic resource!

I am in the middle of setting up my IVA i owe just under 30K split between 6 creditors, 5 credit cards and my over draft with my bank, i am awaiting my creditor meeting date, my IP has said i have a 55% dividend, but i'm not sure what this means does it relate to how much i am offering in the pound, i am a bit confused about it?

Also i was wondering about offering a full and final payment i have 19000 equity in our house would this be enough to offer the creditors?
thanks for your help[?]

[flozza]

HI Stoney Broke,

good luck! It means 55p to the £1 of what you owe(I think.) It will probably work out that you are paying a 55% return. Do you have a monthly figure proposed? Also, have they said you will need to re-mortgage in year 4?

And yes, what a great forum. It's been great to get such sound advice so far.

[Cybus]

55% dividend, I would interpret as 55p in the £. So yes for every £1 you owe, your creditors have accepted to receive 55p.

It's way too early to be considering a full and final settlement offer, since the IVA is not yet approved.

Your proposals, assuming full disclosure has been made, should show that you have potential equity in your property and creditors may well wish you to raise this for their benefit, if it is not already included. But bear in mind they can only ask you to realise your share of the equity. If you jointly own the property, you cannot be expected to introduce 100% of the equity in to your arrangement

I would be checking the proposal and seeing exactly what the terms relating to your property are before anything else. If it does not show that there is equity in it, then you need to ask your IP to re visit it before it goes out to creditors






Tell it like it is.

[Stoney Broke]

Thanks both for your replies!
my monthly proposed figure is £110 for 12 months until my HP on my car completes then will go up to £296 for 48 months then a equity release of my share = £ 6579.00 in year 4

[Stoney Broke]

I am still waiting the date of my creditors meeting would it be benifical to keep the fact that i have this equity in mind for the future?

I know my iva has yet to be approved but i'm just wondering if it would have any chance of being a reasonable offer to the creditors once all is hopefully approved?
or shall i forget about it and just concentrate on paying it in the 5 years?