Payment Modifications

[caraf]

Hi
In my proposal I have offered to pay £500.00 per month, which I feel is sustainable for 5 years, as we are both in long term employment.And nothing much financially changes from year to year.
If the creditors want more, and at the meeting ask for a modifcation of say an extra £75.00 a month, can you barter with them ?? and perhaps say no I cannot afford £75.00 but I offer you another say £30.00 a month. What would they say ??? and would it get approved ??

[Adam Davies]

Hi
Yes we have seen this on the forum quite regularly
Whatever you do stick to a figure that you can sustain for five years
Regards

Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[caraf]

Would the creditors reject the IVA if you say NO to any increase.

[frequentflyer]

Thats something I would be interested to know....I am actually sitting next to my phone, my creditors meeting started at 11.30 so Im wondering what to say if modifications are put to me....

[debbiw]

Hi Caraf, You can stick to your guns, I have read cases on here where the debtor and creditor have compromised. If you say no, then you have to take the risk of them rejecting it.

[Adam Davies]

Hi
Yes that is a possibility but your IP will advise you so that you have the chance to decide once and for all whether to accept the modification,or not.
Regards

Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[caraf]

Thanks, just wanted to know if you could barter with them and perhaps meet them half way if they requested a payment increase ?? or if they asked for say £75.00 that is all they would accept

[Adam Davies]

Hi
No you can barter,maybe meet them halfay if you can afford to
Regards

Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[cr15py]

I would think it is very unfair for them to say "we want an extra £100", when you know in your heart that you could only afford another £50. Surely they would rather have the extra £50 than risk nothing with a bankruptcy?

[Adam Davies]

Unfortunately I think that the industry has got into a situation where creditors think that the debtor has inflated their expenditure and the debtor inflates their expenditure because they know that the creditors will ask for more.
A bit of a catch 22 situation

Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[MelanieGiles]

A very stupid situation which is adding absolutely no value to creditors whatsoever and is going to result in a higher level of IVA failure without doubt.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[Adam Davies]

Hi
How can this be stopped Mel ?
Maybe the accreditation by TDX where they agree to accept figures as provided ?

Andy Davie
IVA.co.uk Spokesperson and Website Manager

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[MelanieGiles]

This can be stopped when creditors start trusting the information put in front of them by highly qualified professionals, and when there is a proper review of income and expenditure carried out by an unbiased central government working party.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[cr15py]

Can I just ask what TDX is?

[MelanieGiles]

They are a firm of creditor representatives who do voting and post-IVA compliance and cash collection for a number of leading lenders.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp