F & F QUERY

[everhopeful2011]

Hi

We have just finished our 4th year in the IVA and are expected to mortgage for over £27500 in month 54. However, we know this is unlikely to happen and expect to pay an extra 12 months payments.

Our monthly payments are £239 and have stayed the same throughout the IVA. Our son has just started a job for 12 weeks with the possibility of being kept on if he does well. If he was to do so, and could lend us the money to make a f & f settlement, would this be allowed? Also, what sort of settlement figure would we be looking at and how long does it take to put to the creditors?

Any advice would be appreciated.

Thanks

[lem]

Do you know if you have any equity at all? was your IVA written that they expect this sum no matter what or does it have a clause in for a valuation and then 12months payments in lieu of equity if you can't remortgage?

I guess a lot depends on what it states in your proposal regarding equity, if you were unable to remortgage and had equity then I imagine with the 12 months extension they would be looking somewhere in the region of £5736 which is what 24 payments at £239 a month comes to, but with that amount of equity to be realised, I really don't know to be honest

[everhopeful2011]

Yes we have any equity in the house. We have the clause of 12 months extra payments in lieu of equity if we can't remortgage.

So would the payment of over £5000 be acceptable?

[lem]

I don't know, I don't know if at the moment, because you haven't tried to remortgage, they would want a sum equivalent to 12 months remaining payments plus the sum of equity (or as near as possible) to be realised, they may want an up to date valuation first, I really don't know, have a chat with your IP and see what they say regarding the equity?

[everhopeful2011]

I wasn't thinking of at the moment. I was thinking more of towards the end of the year. By that time we will have found out about the remortgage anyway and the 12 monthe extra payments if necessary.

[lem]

Then I would think it's difficult to look at a figure now and you will probably be in a better position once you have your valuation at month 54 and know where you stand with your mortgage and remaining payments and then be able to work out a figure then

[mummy1]

If a F&F is accepted at the creditors meeting how long do you get to pay the money or do you have to pay it straight away? Thanks.[:)]

[kazzafunk]

Depends on the circumstances. Our f&f was accepted and my IP had it written in that I have 3 months to pay the money over.

[Tab]

I couldnt remorgage so we had a 12 month extention added, but then my wife was made redundant, I made a cheeky offer of £1000 as a full and final andm it was accepted, I was alowed to pay it over 2 months but I think I could have asked for longer but wanted it finished. Overall my dividend went from 30p down to 19p and was accepted with no problems.
Good Luck