**Urgent** IVA help please!!

ClaireWilko

Hello all, i'm new here and i'm hoping you can help me

I entered into an IVA last year, however now due to long term illness, there is a possibility I may not be able to continue with my payments as my current business cannot continue indefinite sick pay. I will then claim SSP instead. So my IVA is in jeopardy

I need a little help!!

A good family friend has offered a full and final up to £10,000 to help me out. I know its hard to comment but could this be accepted? I know its a way off my original commitment

What would I need to show/tell my ip? Would I need a doctors note? I can probably get this, but I don't want these people knowing my business!

IVA details --

Total debt - £31k
IVA amount to pay - £14k*

This includes 41 increased payments when HP finishes

I pay £161 a month

Divi is 42p in the pound

All constructive comments appreciated. Thank you

UpToMyNeckInIt

Hi CW. Sorry to hear of your illness putting you in this precarious position.

I would like to think that in these circumstances, a F&F would be considered favourably.

With F&F offers, coupled with a loss of income etc. General consensus is offer as much as you can up to your IVA minimum (£14k in your case, less any payments you have already made).

So assuming you have already made around £2k in payments, a 'good' F&F would be £12k. But, your £10K offer is certainly in the ball-park so to speak.

I have heard anecdotal evidence on this and other IVA forums, of less than agreed minimum dividend F&F offers being accepted. I guess a lot will depend on your exact circumstances.

Another variable is how supportive your IP is, which will determine how strongly they sell your case to the creditors.

Have a chat with your IP, and take it from there.

Best of luck, and let us know how it goes.

plimsolls_on

Hello
When I took out IVA 18 months ago (£29k debts agreed payment of 60 x £170 per month), similar to your situation, I informed ip that I might be receiving injury compensation in a lump sum. They can't touch this money, but asked me how much, I said anything between £1k and £10k, and they said, great, make us an offer for cash settlement, and that was at the beginning before any repayments.

By the way, I did get the money and did not settle, but still could, now I have 18 x £171 under my belt paid for...

Good luck and go for it, no real explanations necessary except you CANNOT have borrowed the money from a friend as this is not allowed.

UpToMyNeckInIt

Hi Plimsolls on. Yes, I think you are correct. I believe you cannot have a friend dump £10K into your account, then approach your IP.

However, a friend can certainly make make the F&F settlement offer on the OP's behalf, and pay into the IVA directly.

Like I said, best that the customer speaks directly with their IP about the exact mechanism of making the third party F&F offer.

ClaireWilko

Thanks so much for your advice, its good to know the £10k is in the ballpark. I know some people on here have offered much lower offers and been accepted (£7500) but I really do want to pay as much back as possible

So the person who will offer the F&F, they need to hang onto the money first, then pay it directly to the IVA so it doesn't go through me yes?

Does anyone know the process for offering an F&F? I've researched on here, and some just take a brief email, but some have to churn out bank statements etc?

Will they snoop into my medical history?

My IVA is with what was the CCCS, who have been great, very stress free and 'hands off' so to speak

All advice is appreciated!

UpToMyNeckInIt

Hi CW,

Yes: the offer has to come from a third party (so I believe).

Best give Stepchange (formerly CCCS) a call and let thm know of your proposal.

As for how much of you personal paperwork they will want to trawl through, I think this varies between IVA firms and each customer's individual circumstances.

Good luck.

ClaireWilko

Thanks again, much appreciated! A question for mister or mrs plimsole! How did you manage to keep your injury compensation? I thought all compo had to go into your IVA pot? xx

Vikipollard

I think they cant take money received for pain and suffering as this is not technically a windfall.

I could be wrong though!

ClaireWilko

I was just curious about the windfall thing, as I was considering claiming compo for an accident I had, but decided against it as I thought all windfalls went straight into the IVA like PPI etc? x

Vikipollard

Check with your IP what would happen if you made an accident claim. They will know whether you would get to keep any/all of the monies

UpToMyNeckInIt

I've heard of others being allowed to keep injury compensation as well.

Interesting to see how this and cash 'gifts' fall outside the scope of the 'windfall clause'.

It's little useful nuggets of information like that which makes internet forums so useful, and life in an IVA just a little easier.