PLEASE PLEASE can anyone give me some advice?????

garwil

Hi All
First of all thanks to everyone for their advice regarding my previous posts.:beer:
Since last posting i may have a very kind offer of a lump sum coming my way...... i need to know the following.......


Would my creditors be likely to agree to a Full and Final/One of IVA in the following situation or am i just wasting my time in making such an offer? i have had a telephone interview with an IP regarding doing a regular IVA and i cant help thinking we would struggle after a few years with the repayments they are suggesting so i thought this may be a better solution.

• My total debts are £95 000
• The equity in my home is probably £0 if not negative at present
• I have no other high value assets
• I would have £30 000 to offer as a "One Off IVA or Full and final settlement" to my creditors.
• Is there any advantage to doing a one off IVA - or are we better to just pay it over the 5/6 years?

Any help appreciated!!!
Thanks again

Charco_2

Sounds like a fantastic offer...

Where is the money coming from?

Why do you think you would have difficulty maintaining regular monthly contributions?

garwil

HI Charco
Thanks for replying:beer:
The money would be coming from a loan from a friend - would have to be repaid at around £200 per month over 15 years.
This would be a lot less per month than the IVA repayments - i know its over a longer period of time but i would be afraid of what may happen further down the line with the IVA - if my circumstances changed and i wasnt able to meet the repayments - at least this way it would be done and dusted.
So you think that this would be enough to give the creditors an acceptable dividend? Some one had said they may still look for more money on a monthly basis to top this up - have you ever known this to happen?
Do i still remain on the register for 5 years even though i have made this one of payment?
Thankd for all your expert advice!

Charco_2

Hmmm, never really thought about that, i suppose you don't need to stay on it for five years, but it will be noted on your credit file for six years regardless. (as with all notes on your credit file!)

I understand you being nervous about an IVA but i would point out that it is not entirely unflexible regarding changes in your circumstances... keep up to date and in contact about changes and possible changes with your IP and he'll be your very best friend... if it looks like you're taking the hand then he's not going to want to play with you!

My advice would be to look into the costs (to you) of running an IVA normal for 60 months... then compare this with repaying your friend for 15years. Twenty minutes on the phone to an IP (or his company) should be enough to go through the headlines with them and give you a fair idea of how much of a commitment it would take from you.

An IP would probably prefer the Lump Sum idea as they will get much the same fees as they would for an ongiong IVA, but they'd get it much more quickly and for a lot less work! But you should know what suits you better. Can your friendship survive the strain of a £30k loan???

struggler

Does your IVA not come off the register on completion ? (forgetting the CR agencies ). Thought I read this on the DETI site here in NI

Charco_2

Yes, your details should be removed shortly after your IVA completes... usually a week or two after you receive your completion certificate.

Some IVA companies can be a bit slow about doing this but yes there is no reason to keep you on for five years if you do a one off IVA.

immoral_angeluk

15 years to repay your friend? An Iva is only 5/6 and there isn't the risk of your friendship breaking down because of money issues which is incredibly common... personally I'd take my chances with the IVA rather than potentially risk a friendship and be repaying fo 15 years...