www.iva.co.uk

does anyone know what happens if at the end of my iva not all of my creditors have put in a claim, do i get any money back?

Hi carl c

That depends upon the terms of your IVA proposal. It is usual for unclaimed dividends of up to £500 to be returned to you, but anything higher gets distributed to the other creditors.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

Hi
Well I,ve learnt something today.
never new that ,I just presumes that the other creditors received a higher dividend.
regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

I think there may have been a misinterpretation of the opening poster's question.

If the Supervisor is in a position to make a distribution to creditors and not all creditors have submitted a claim, the Supervisor has a duty to attempt to establish the level of the claim. He would issue what is known as a Notice of Intended Dividend to the creditor(s) who have not yet claimed. This gives them a set period of time within which to submit their claim. There are consequences for the creditor if they fail to provide the Supervisor with a claim within that time period; ie exclusion from that distribution. So for instance if your supervisor was in a position to issue a final dividend to your creditors, those who have not submitted a cliam will be excluded and with it being a final dividend, the funds will be ditributed to all creditors who have submitted a claim.

So as andydavie suggests, your creditors who have claimed will receive a higher dividend payment.

An unclaimed dividend, that Melanie referred to, would be a cheque or payment order made to your creditors by your Supervisor that was not cashed. Usually, proposals are modified to determine the course of action to be taken by the Supervisor in such instances. If the amount in question is >£500, your Supervisor would be expected to distribute those funds to the other creditors. If <£500 then they usually suggest that the funds can be returned to the debtor.

I am sure you will probably already know this, but I will mention it anyway. If a creditor bound by your arrangement does not submit a claim and as a consequence does ot receive a dividend, they are under no circumstances entitled to come to you for payment at a future date.

Cybus
Thanks for that clear explanation.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

Thank you Cybus, a query i was wondering about! Your explination is great and clear for Jo bloggs to understand xx

Thank you for eveyone's help & Support xx

Got a query on this matter if anyone can shed any light. Obviously debts in different amounts. If you say have a range of debts ranging from few hundred pounds and some in their thousands. Some collect at the end of the iva some dont claim. and there is an excess of money in thepot to be distributed among those who do claim what if the original dividend exceeds what was originally owed to a particular creditor? i assume that the ones with the highest total debt get paid equally between them.? Surely the smaller ones get paid off anyway lol sorry to ramble again. Just keep thinking of questions all the time lol

Thank you for eveyone's help & Support xx

Hi
They all get paid the same percentage of their debt.So if the end dividend id 55p in the £ creditor will receive 55% of the money that they are owed.They then "write"off the remaining 45 %
Hope this helps
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

Thanks Andy xx

Thank you for eveyone's help & Support xx