I have come into an iheritance

[MelanieGiles]

25% is enormously high - but if that is the level that was agreed by you and the creditors you may find it difficult to argue unfairness.

The statutory interest is not negotiable unfortunately, unless your IVA proposal precludes it, but I do think you could ask your IP reduce their fees given that you are now personally funding these. If you wish to challenge the levels of IP fees there is a process to enable you to do this, but you may eventually end up going to Court.

For what it is worth I feel that the Court may also agree that the fees are excessive, and the IP may have to prove their worth in terms of the work actually carried out to warrant this fee. See if they are prepared to do a deal in the first instance.

[The Major]

Wow £23000 in fees perhaps the Adrian Goldberg show should feature this thread on IVAs

[kallis3]

I'm with Payplan and am paying nowhere near that in fees. I'm really surprised they are so high.

[MelanieGiles]

Not if it is based on a percentage of realisations Helen - unless the IP agrees to a reduction.

[Cath]

I am guessing here that the fees weren't modified in the proposal as they tend to be these days, but what a gutter for the op that they have tried to do their best with their debt and their loved one has done their best by them and then on a stroke of chance £23k of the inheritance is gone in fees when creditors have been paid in virtually full.

[MelanieGiles]

I agree with that Cath - those fees do seem to be exceptionally high and I cannot understand why creditors would have accepted such levels.

[Emmet67]

Hi all

Thanks so much for the advice and support.

The case officer has sent me a pdf of the new chairmans report from 2008 ( I amended to lower payments) and this states - Supervisors Fees: Will be 25% of all realisations made under the Arrangement.
I never received this report even though they have put my name at the top of it.

Would they be under any obligation to inform me a)of the increase in fees or b)the fact that if I pay off the creditors I am liable for the fees they would have paid?
Many thanks again

[MelanieGiles]

If this was put forward as a modification at the creditors meeting (which I would have found hard to believe), then you would have had to have expressly agreed to this before this term could have been incorprated into the IVA agreement.

Fees should always be openly discussed with clients.

[lil.me]

with fee's like that it would almost make applying for a deed of variation on the will thus the inheritance will never go to you but to someone else seem ethical [;)]

[Skippy]

I seem to remember reading on here that it's not possible to refuse an inheritance whilst in an IVA.

[rayb]

Hi Skippy,

Your right you cannot refuse an inheritance

[lil.me]

I seem to remember reading on here that it's not possible to refuse an inheritance whilst in an IVA.

with a deed of variation it would not be refusing an inheritance it would be deemed as if the deceased left the money to the newly named person as if that was how the will was written in the first place.

[Skippy]

I would have thought that the creditors could dispute this though as it's basically witholding money from them.

[lil.me]

I would have thought that the creditors could dispute this though as it's basically witholding money from them.

possibly,but taking into account the major use of this is for tax avoidance purposes i would hazzard a guess that if the tax man cant touch it no one can....[:o)]

[kallis3]

I agree that an inheritance due in an IVA has to be paid across.

I believe that regardless of how the inheritance comes into being, any money due should go to the creditors.

Hopefully one of the professionals will advise further.