You need to bear in mind that an IVA doesnt normally include secured debt, mortgages, HP agreements etc. It is generally only unsecured debt such as unsecure loans, credit cards and store cards that can be included.
You then need to do some calculations to find out your monthly disposable income. To do this, add up all your day to day expenses over a typical month, this could be anything you spend that supports a reasonable standard of living (including transport costs, secured debts, mortgage payments or rent, HP agreements etc but NOT unsecured debts such as loans and credit cards). Also dont include luxuries such as holidays. Then subtract the expenditure figure from your total monthly income. Whats left over is your monthly disposable income, and your disposable income makes up the monthly payment to your creditors, typically over a 5 year period.
IP fees vary, depending on the level of debt & the company/IP you use, but generally range from £4000-£10000.
To find out the pence in the pound you will pay back to your creditors, you need to calculate:-
Total contribution = 60xMonthly Disposable Income Figure
Total contribution - IP Fees (say £7000) = actual return to creditors over the 5 year period.
Return to creditors / Your Total Debt to be included in the IVA = Pence in the Pound returned to creditors.
You would normally have to pay at least 25p/£ in order to propose an IVA, but some creditors may demand more.
As well as your income contributions, if you own a home that has equity then it is likely you will need to release some of this for the benefit of creditors either by additional monthly payments or by a remortgage at some stage during the IVA.
If you can at least work out your disposable income figure and post this along with a list of your unsecured debt detailing what you owe to who, and if you own a home how much equity you have in it, someone will be able to advise further.
