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Acceptable figure

edited 30 November -1 at 1:00AM in IVA & DRO
7 replies 1.2K views
mother_hen_2mother_hen_2 Forumite
461 posts
edited 30 November -1 at 1:00AM in IVA & DRO
If accepted by the creditors (if not we will go BR) we are looking at paying back 25p in the £1 back via the IVA route. I just wondered what other amounts people have managed to get agreed with their debtors?

Replies

  • I got 21p in the pount accepted for a debt of £59,000
  • moneysavingplumbermoneysavingplumber Forumite
    832 posts
    Part of the Furniture Combo Breaker
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    Mother_Hen wrote: »
    If accepted by the creditors (if not we will go BR) we are looking at paying back 25p in the £1 back via the IVA route. I just wondered what other amounts people have managed to get agreed with their debtors?

    Are you referring to the amount the creditors receive or the amount you actually pay?

    My creditors received 33% but paid around 70%.
  • We are paying 61p per £ on a debt of (hohum!) £100k.
    :grinheart I'm getting there...... slowly but surely
  • I was referring to the amount the creditors actually, receive/agree to at their meeting.
  • I am sure that is what they are receiving so for example if we owed one creditor £10,000 then they will get £6100 back at the end...... Is that what you meant?
    :grinheart I'm getting there...... slowly but surely
  • I think I was thinking (goodness I'm getting worse).. that some forums stated that people on IVA's had paid as little as 6p in the £1 back to their creditors. Other people are paying back 40p in the £1. Its all so messey, I guess I was wondering what the average rate is?
  • It depends on how your SOA works out. Basically you offer what you can afford and then the IP negotiates fees with your creditors and loads it as much as possible in their favour. So you might be paying back say 70% of your outstanding debt but after the IP has skimmed off their fees your creditors may only realise say 30%.
    This is why some creditors meetings fail because the creditors can and do get upset with IP's skimming of so much off in fees which in effect denies them money that you have available.
    IP's who keep it reasonable have more chance of a succesful outcome but bear in mind that IVA's are very profitable for the IP's. Not saying don't do it just be aware of all of the facts before you commit yourself.
    In answer to your question i am aware of some that have taken 25p and others as high as 80p so as i say it depends on your circumstances.
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