This is a question for the experts I suppose, but when I am writing my offer letter, should I enquire whether they are willing to reduce their fees on early settlement, and thus better enhance my prospects of obtaining a full and final settlement?
Is it reason enough that my parents have given me this opportunity to settle early? I am a little concerned that there is no major change in my circumstances - will this affect the chances of my settlement being accepted?
I think it is unfortunate on the timing - being so early on in your IVA's lifecycle - but at the end of the day you are offering to repay creditors much earlier so they have to take some interest in the offer.
This is a question for the experts I suppose, but when I am writing my offer letter, should I enquire whether they are willing to reduce their fees on early settlement, and thus better enhance my prospects of obtaining a full and final settlement?
Most IP's I think would reduce their fees but you must remember that the original Nominees fee has been reduced dramatically since Feb 2008 and creditors expected them to earn out of realisations going forward over the 5 year term in respect of Supervisors fees.
All you can do is ask - and your F&F as being so early in the IVA would have to be pitched within 10% to 15% of what would have been received over the 5 year term.
Good luck.
Last edited by David Mond on Fri May 22, 2009 6:09 am, edited 1 time in total.
Regards, David Mond, Insolvency Practitioner for over 46 years. Personal Insolvency Practitioner of the year 2012, Personal Insolvency Practitioner of the year finalist 2013 & 2014 awarded by Insolvency & Rescue Magazine and 2015 finalist for Personal Insolvency Firm of the Year.
Just to update you, after speaking to my IP company again I sent a letter last friday offering F&F at £10k. At least the ball is set rolling now. Many thanks for your advice and I will let you know how the affair proceeds.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Last thursday was the deadline for voting on my F&F offer and it was accepted! I am dropping the cheque from my mother in the post today to my IVA company.
They say it will take a couple of months to settle the creditors and issue a completion statement. Does that sound about right?
My god this is incredible news. Last year I was in a right mess, financially and psychologically! What a turnaround.
Thanks everyone for your advice, support and comments
Congratulations Chris and I take it the £10k was enough. A couple of months may be at the most but if there are a couple of creditors who have not claimed it seems reasonable. It doesn't really matter now anyway so sit back and wait for your discharge certificate and you can get on with the rest of your life.
Yes, the £10k was accepted! which is good news all round.
Now I have the arduous process of slowly rebuilding my credit rating. But this is an upper class problem compared to the situation I was originally in!
Congratulations from me as well. Really pleased for you.
Good luck and let us know how you are getting on.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
