www.iva.co.uk

Should my iva cost me £9960??

Hi there and welcome to the forum

Yes - if those are the fees that you have agreed with your IP and they have been sanctioned by creditors.

Do you have an IVA in place, or are you just at the proposal stage - and may I ask how much you are either paying in or going to be paying in on a monthly basis>

Hi Melanie,

I'm just at the proposal stage with a view to signing on monday.

I haven't yet agreed anything with the company, but their proposal is to pay in £500/month, which i don't think i can afford.

They have got a couple of figures wrong so hopefully this will reduce the overall amount.

My debts stand @ £41500 with thirteen creditors

Hi wannaBfree and welcome from me as well.

If you are not happy with the propoosal and the payments, please don't sign it.

Sort it out and make sure that you can afford your monthly payments, otherwise you will struggle from day 1 and whilst you are supposed to live frugally, you're not supposed to womder where the next penny is coming from.

Which company are you using?

hey wannabfree.
kals right hun-double check and do not sign til your certain and happy-call your company for clarification if need be

good luck and keep posting xxx [:o)]

Hi there and welcome to the forum,

Have you spoken to this company or did you fill out one of those online thingythings??

Have you worked out your own disposable income to know what you can afford to pay each month?

Contact another company and see what they say. As per advice given, do not sign up to anything you're not happy with.

Hi and thanks....i'm reckoning on around £350/month....but with debts of £42000, what is the amount the ip should be charging??.
They are charging me £9960 in fees, plus an initial £750 for the paperwork!!

I would suggest that you look at a company who doesn't charge upfront fees.

Will you get this money back if the IVA isn't approved, and if it is, will the payment go towards it?

I think you need to think long and hard about this before signing anything.

There are lots of companies on www.iva.com. Give one or two of those a ring and you will receive free and impartial advice.

totally agree jan,

Don't pay upfront fees, just agree to what you can afford to pay.

Whatever percentage the creditors get, it doesn't matter. You pay what you can afford, the Ip get their fees, the creditors get their slice ...5 /6 years down the line you're debt free.

Kallis gives good advice. Do not enter into any agreement unless you are confident that you have the disposable income available to meet the monthly payment requirements. I wouldn't personally get too hung up about the IVA fees, assuming that you are not paying any upfront. You would no doubt find a modification or two would be put in place at any creditors meeting to reduce the fees - and in any case you are signing up for a 5 year IVA with affordable monthly contributions so bearing in mind that the fees are actualy paid by the creditors out of your monthly contributions I would just concentrate on making sure that the repayments are realistic. Good luck.

Those fees are very high and are likely to be restricted by creditors at the meeting. Of more concern is that you do not feel that you can afford the suggested level of payments.

Please do take a second opinion on this. It may take another couple of weeks to put an alternative proposal forward, but you have to stick with this for the next five years so it is very importatnt to get it right at this stage. Most IP firms would be happy to run through things with you again to make sure that the payments you offer to creditors are actually affordable and therefore sustainable.

Best of luck with it all, and don't hesitate to post more questions on the forum in the meantime.

Thanks guys!!... i've been putting this off for the last 12 months, and finally i do feel as though i'm going to get there, it's just a question of who to choose. With so many out there it looks daunting, but being on here makes you feel positive. And as for the charges, yeah your right julie i should just look at getting debt free and not how much others are going to be getting as it's coming from the amount the creditors should've been getting anyways....THANKS ALL

wannabefree ....you have taken a MASSIVE step, facing upto your debt and posting on here. I wish we had done before rushing into an IVA!

All I can add is, the professionals who post on here, do so in their free time and because they want to help. If I had my time over,I would contact one of these guys.

Good luck and we'll always be here to help&support xx