We are about to sign an agreement with express debt solutions but under their terms and conditions it says 'Your Insolvency Practitioner will pay us a minimum of 50% of the Nominees fee which will be detailed within the proposal he/she sends to you as per clause 3c'. Clause 3c 'When we have received the initial payment from you in cleared funds we will prepare the documents and Statement of Affairs and issue this to a Licensed Insolvency Practioner providing all outstanding documents have been received, normally within ten working days. If we have not issued your documents to a Licensed Insolvency Practitioner within this timescale we will take all reasonable steps to contact you.' I just wondered what a nominees fee is and if 50% is pretty standard or if it is a little on the high side. Also I wondered how the nominees fee impacts on us?
I don't know if you will be able to help with the above query but I just needed to clarify the above before making a commitment.
You are correct to be reading your doccuments carefully and make sure you understand everything before you do sign as it is a commitment and you don't want anything to go wrong.
I am not sure of this clause, but we have many professional IP's who post on the forum and I am sure one of those will offer clarification as soon as they pick up this post.
Good Luck
Emma
Be positive & look after yourself, there are more important things in life than debts....
The nominee fee is the fee charged by the IP for preparing the statement of affairs, circulating the proposal to creditors and court and holding the meeting of creditors. The introducer firm appears to be doing a lot of the initial work themselves so the IP will pay them for the work they have done from the nominee fee. This is not unusual and the nominee fee will will be paid from your monthly contributions so this arrangement should make no difference to you at all.
Which IP firm are you using? And why did you decide to go through an intermediary company rather than directly to an IP firm? I would have some concerns about going through a company who prepare the documents for the IP - presumably it is the IP who actually writes and agrees the proposal with you?
The nominee's fee covers the work that the IP does on your behalf in the period leading up to the creditors meeting - to include the chairing and reporting of the creditors meeting. It is not unusual for the nominee to be assisted by a third party, but you the debtor should not have to pay more money as a result of this.
