www.iva.co.uk

Hi great site,been reading posts and finding this site very helpfull.
I've been in an IVA for a year now and had my annual review and been sent a copy of the report.
I've paid over £10,000.00 which included £2500.00 in overtime.With the supervisors fee's deducted i've only paid just under £5000.00 into my IVA.
Are the fee's going to be the same each year or do they reduce so i pay more into my IVA?I have been working alot of overtime and put 50% of this into my IVA in hope that the majority of the money would go to my creditors,but from my report the creditors dont even get 50% of the money i have paid in so far.
Would be gratefull for anyones advice,many thanks.

Hi jamie and welcome
In the first year your IP will draw their nominee fees,usually about 2.5k and then there supervisor fees,about 1k all plus vat and disbursments.However in years two through until five they will just draw the supervisor fees each year.
Good to see someone earning plenty of overtime,must make the IVA a lot easier to pay
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

Hi thanks for your reply.Yes overtime is available at the moment so getting it while i can and put into my IVA.
Yes my supervisors fee is £900 so does that mean from now on all money paid less £900 (supervisors fee) goes to my creditors each year?

As Andy says, the first year of an IVA can be top heavy with regard to IP fees as the nominee's fees - which technically should be drawn prior to the IVA's acceptance but rarely is - and the first year's supervisory fees are taken out in the same year. Thereafter, the supervisory fees will be drawn on an annual basis.

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

Thanks for replying,just wanted to double check as surprised not much of the money was being paid to my creditors.
Many thanx

They understand the rules, and are happy to abide by them, otherwise they would not have voted in favour of your IVA in the first place.

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

jamie24 wrote:

Hi great site,been reading posts and finding this site very helpfull.
I've been in an IVA for a year now and had my annual review and been sent a copy of the report.
I've paid over £10,000.00 which included £2500.00 in overtime.With the supervisors fee's deducted i've only paid just under £5000.00 into my IVA.
Are the fee's going to be the same each year or do they reduce so i pay more into my IVA?I have been working alot of overtime and put 50% of this into my IVA in hope that the majority of the money would go to my creditors,but from my report the creditors dont even get 50% of the money i have paid in so far.
Would be gratefull for anyones advice,many thanks.

I've just entered an iva & was under the impression that the fees were paid by the creditors ?
Does this mean i will pay £40,000 approx over the 5 years ( equity release in yr 4etc) instead of the £31,000 i actually owe ?
With the equity clause i'll probably pay 100% back .
If the IP fees are extra then surely all i've really done is take on another creditor ?
Apologies if i'm sounding a bit dull & have it all wrong

Hi Bluemoon,

I think that whatever your IVA agreed repayment sum was includes your IVA fees. However, if your situation improves, or your able to make a significant payment from equity in year four, you might well pay a higher % in the pound than originally agreed. If sufficient, I guess it's possible that you end up paying your IVA fees on top of 100% owed to creditors, not really sure, but I'm certain someone will be along shortly to let us know...

Best of luck,

Martin

Bluemoon

If you read your IVA documents again, you will see that it is very clear that your IP's fees and costs are deducted from the contributions you pay over and are not on top of those.

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

Hi Bluemoon
Even if you do end up returning 100p in the £1 to your creditors you have saved a load of interest and also a load of hassle from your creditors.
Also anybody that is returning anything over 75p should have made sure that they have explored a debt management plan in the first instance.
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