Creditors

[gporter3319]

We have recently posted our proposal forms back and were wondering what experience others had had with any of our creditors
1, Blackhorse..unsecured loan
2, Monument credit card
3, Citifinancial, unsecured loan
4, Vanquis credit card
5, Capitalone credit card
6, Provident, unsecured loan
7, Dell...not sure if HP or Loan
8, Gus home shopping, Mail order catalogue
Anybody aware of how these tend to vote?

Thanks Gary

[MelanieGiles]

Hi Gary

From my experience you can expect the following:-

1 Will reject if the debt is higher than £7,500 or taken out within the last year.
2 Usually will accept (minimum dividend of 25p)
3 Usually will accept (minimum dividend of 25p)
4 Usually will accept (minimum dividend of 25p)
5 Usually will accept (minimum dividend of 25p)
6 Usually will accept (minimum dividend of 25p)
7 I have no experience of this creditor
8 Usually will accept

Hope this is helpful


Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[gporter3319]

Thanks for reply Melanie. Blackhorse is higher than £7,500 and they are our biggest creditor, will this make a difference? or will the fact that the others usually accept get it cleared anyway? Many thanks Gary

[MelanieGiles]

Hi Gary

Are Black Horse owed more than 25% of your aggregate debts? If so, then you may be at risk of the IVA being rejected. What does your IP say about this?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[gporter3319]

Melanie

Dont quite know what you mean by "aggregate debt" sorry. Regarding my IP they say that the proposal would not have been sent to me if they thought it would be turned down

[MelanieGiles]

Aggregate debt means the total debts. Do let us know what happens at the meeting, and can you confirm what percentage Black Horse have of your total debts.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[gporter3319]

Hi Melanie.I have spoken to my IP again regarding the fact that Blackhorse are our largest creditor and make up over 50% of our debt. My IP rightly or wrongly claim that this wont matter as the other creditor's can still outvote them. Is this not correct? I am getting worried. Gary

[MelanieGiles]

Gary

Who is acting for you, and what firm do they come from? You need to get a 75% majority at the creditors meeting, so how they can say that a creditor who are owed more than 50% can be outvoted doesn't add up.

Let them put the case forward if they feel that they can get it through - maybe they know something I don't - but make sure you negotiate a full refund of all monies if you have paid anything over in the event that the IVA is rejected.

The stance of Black Horse is widely known in the marketplace, but am always prepared to learn something new! And do be sure to post and let us know how you get on. Are you sure that the Black Horse debt is unsecured and not for instance HP over your motor car?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[gporter3319]

Hi Melanie.. Not sure I have explained myself properly.I have total debts of £33,500 to 5 creditors, Blackhorse are owed £16,000 the rest between them. I have paid no upfront fee,s. The company are called "Moneydebt & Credit"

[123debtsolutions]

Hi Gary

Firstly I would only recommend an advisor on this forum.
Secondly from reading this post you don't stand a good chance of having the IVA proposal accepted.
Almost 50% of your debt is with Blackhorse, if they don't agree and even if all the other creditors agree then it is not going to be passed.
It sounds to me like you have been ill advised.
I would recommend speaking to a couple of other companies before proceeding any further.

Note : DO NOT under any circumstances pay any fees upfront to any provider. You should always use companies that don't charge any fees until the agreement is signed.

Lee
www.123debtsolutions.co.uk - 08000 114 123

[MelanieGiles]

Gary

If you haven't paid them any money, then you have nothing to lose - and a slim chance that Black Horse might not vote or even vote in favour. Make sure your IP properly circulates Black Horse to the address of your local branch and Head Office to ensure they receive the proposals in good time to vote.

For all IP's out there, this will be an interesting one to watch!

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[gporter3319]

Thanks for the replys, I am really worried now. I will call the company 1st thing in the morning to see what they have to say for themselves.Will keep you guys informed.

[gporter3319]

Just one more thing, if i was to stay with this company and see it through, if as you say it gets rejected would we be forced into selling our home?[V]

[MelanieGiles]

Gary

That will depend upon what offer you can put to the creditors outside of the IVA. It may be that you wish to enter into a Debt Management Programme, and thus make ongoing monthly repayments to your creditors directly. This is a favoured option for homeowners who wish to protect their equity.

How much equity do you have in your property as a matter of interest? Is it jointly owned?

Do try and not worry about things at the moment. At the end of the day you have appointed a professional to act for you, and they should be acting in your best interests. How did you get referred to that particular firm? Was it on a personal recommendation?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[gporter3319]

Hi Melanie, we got them from the net, and the house is jointly with my wife. We currently have about £13,000 in equity.Gary