Full and final offer

[Lydon]

Hi all,
Our IVA has been running for exactly 12 months and we have made an offer of a full and final payment of £15000 to our creditors using funds offered by a family friend.

Our original debt was approximately £54000.
Payments to date £5300.
Remaining payments over 48 months @ £372 = £17856

We have an equity release clause included in our IVA, but dont have a great deal of equity currently in our property. Obtaining a mortgage to release any equity is obviously difficult enough whilst in an IVA, added to the fact that we still have 18 years left to run on our current mortgage, which takes my wife up to retirement age, which means we wont be able to extend our term when it comes to remortgaging.

Also, my employer has just been subject to a takeover, which will mean a lot of restructuring over the next 12 months, which could possibly affect my employment.

Do the experts on here think the offer has a good chance of being accepted?

[Daveyboi]

If you have very little equity as in under £5k then they won't likely get anything from that if the IVA continued. £15k is very close to the original agreed amount and you also don't have job security so I think they will likely see this as a very good offer. Creditors like to receive funds early so they can reinvest in other ventures.

I wish you luck

[kallis3]

Nice to see you Lydon - hope you are well.

Good luck with your offer, I'm sure it will be fine and look forward to reading a positive post!!

[footiemad]

It seems like a reasonable offer to me and I sincerely hope that the creditors accept this - good luck and do let us know how you get on x

[Lydon]

Thanks for the replies guys. My friend has returned his letter to my IP this week. Any idea of the timescale of these things?

[MRBLUESKY]

Should be done and dusted within 8 weeks,looks like a very good offer.

[Tina Shortland]

Hi Lydon - sounds like a good ofer - I really hope your IP can make this happen for you. Timescales depend on each individual firm - best person to answer that important question is your IP.

Keep us posted!

Regards,

[Lydon]

Thanks for your positive responses, wasn't sure whether the equity clause would be a major stumbling block or not?

[kazzafunk]

I wouldn't have thought so to be honest. Settling early will release the funds to your creditors early and they can then show the debts as settled and their annual reports will show less debt nationally.

I believe a lot of creditors just grab the cash and skip off into the sunset!!

[luluj]

I would make it very clear that if the F&F is not accepted that the funds from family will NOT be available for you to use.

The offer sounds very reasonable and I would hope your creditors look on it favourably.

[MRBLUESKY]

Could,nt agree more with Tina,i would give it a few weeks though,for your IP to set up your proposal,you will have to sign a draught from your IP.Creditors are normally given a months notice of a variation meeting.

[Lydon]

Creditors meeting set for the 28th February. Keeping everything crossed!!

[kallis3]

Good luck!!!!!

[Tina Shortland]

We're all rooting for you Lydon - I look forward to reading a positive result for you.

Don't stress for the whole of February!

[Rosepetal]

not long now! good luck [:)]