Full and final IVA closure - what happens next?

pilliepop

Hi everyone,

I'm in the third year of a 6 year IVA with Debt Free Direct but have offered full and final to finish the arrangement early. The meeting with my creditors is scheduled for 10 January and assuming they agree I wondered what happens next?

Will they need to conduct any more reviews of income and expenditure or is it just a case of the money being paid and the arrangement closing? Does anyone have any idea once agreed how long it takes for completion?

Thanks in advance!

sourcrates

Hi,

If 75% of your creditors (by value of debt) agree to your offer, then your IP will be in touch with you to pay the balance.

That would end the arrangement with no further commitment from yourself.

You would be issued with your certificate of completion, and your arrangement would be wound up.
It can take a few months to issue the certificate, depending if there are any PPI claims or anything or that nature ongoing.

Tinks74

If 75% of your creditors (by value of debt) who vote agree to your offer, then your IP will be in touch with you to pay the balance.


A 75% majority vote of those creditors who can and do vote for a resolution, is what is required.


A resolution can be passed by the vote of just one creditor with a claim of only £1 if they are the only creditor to vote.