www.iva.co.uk

Hi Guys,

I've become much more aware of our IVA terms and conditions over the last 48 hours mainly as a result of this forum..... thankyou all so very much for that.

I have 4 friends & family members who have agreed to consider helping me make a F & F offer.... but understandably they need some guidence on how much i'm asking them to raise... there comes a point beyond where they cannot help

the mechanics of my IVA are as follows....

Initial debt of £83k

IVA agreed at 27p in the pound = £22410

Initial payments of £500 per month = £30,000 (does the rest go to my IP?)

Now Paying £600 per month

Total contributions over 16 months of £7850

on the basis of the info supplied what would be a realistic offer ? I want to make a fair offer that is acceptable to my creditors.

Thanks

Mac & Tori

Hi
On the info about 13-14k will return the same dividend after a small reduction in IP fees for early settlement.
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

Hi Andy,

looking at my IVA T&C's there looks to be penalties for early settlemnt rather than any reduction in IP fees. Is this usual ?

No - what are the nature of these penalties? You should not be penalised at all for wanting to pay your creditors off early.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

Hi Melanie,

just quoting here from my IVA proposal

"In the event that I successfully bring my volutary arrangement to an early conclusion the supervisor will be entitled to to charge a fee of £775 plus vat to cover costs of closure should there be 24 months or more of the original term remaining"

....."also for any variation of terms the supervisor will be entitled to charge £500 plus vat for any work undertaken. The supervisor has however concented to only draw this fee on those occasions where the proposed variation is accepted by my creditors"

on this basis it looks like £1275 plus vat will be added on by my IP

Thankyou

Hmmm - I am inclined to agree with you, but these are not penalties but additional fees which your IP has successfully negotiated with both you and the creditors. You will need to provide for these in an settlement calculation.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

I understand....

difficult not to see them as penalties however...

on a different note on our first anual report there is a slightly worrying section which reads...

Creditor Claims
As can be seen from the scedule of claims attatched in apendix 1 provisional claims so far recieved total £22452 compared with a value of £83986 included in the proposal. A number of claims remain outstanding.

The apendix shows that of the 16 creditors only 4 have an agreed claim ?

the statement shows 3 columns

SofA = £83986
Claim = £88310
Agreed Claim = £22452

it looks like the majority of claims have not been finalised for my creditors, i'm worried about how this effects my IVA mainly because i don't understand it.

Ask your IP to give you an update. There is no real excuse for not having creditor claims agreed by the first anniversary - unless you have a HMRC liability which can take longer to resolve.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

Is this likely to slow down or cause problems as I look towards achieving a F&F settlement ?

It will be difficult for your IP to confirm the dividend payable if they have not agreed the creditor claims.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

HI, that's not good news is it ?

what approach should I take with my IP to progress this ?

Thanks

Ask them to explain why things are taking so long, and that you are concerned that a settlement will take longer to effect.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

Hi Melanie
I understand that the creditors have the full five years to make a claim but,as in litmarvic,s case,it seems unfair if a person is in a position to settle early that they should have to wait.Is there a standard procedure for such an event and a time limit to lodge a claim ?
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

hi can i ask how long you have had your iva we are having the same problems has you

we've had our iva for 15 months now, when i spoke to the case handler he didnt seem to think that there would be a problem with the fact that 12 creditors had not forwarded an agreed claim as the iva allows for a 10% dividend which is held on their behalf? think thats what he meant ! Also, he said that if they came forward once we had an agreed f+f then they would share a % of the dividend. It also states on our agreement that if any creditors later submit a claim that exceeds 10% there will be a meeting whereby all other creditors must agree to these claims admitted.
I think from that that if any of the outstanding 12 try to claim for more than has been allowed to them in the absence of them submitting a claim, them recieving any money over the 10% that is held on thier behalf, will be dependent on the other creditors agreeing Does this seem right?

I rang our case manger and was given more information , parrticularly when i explained we had bee looking at the forum and things seemed a little clearer to us!

Our plans now are to gather all the requested information, sit down with our family members who have offered help, talk openly and honestly about our situation, get together a good offer and submit our f+f