IVA Question URGENT!

immortalbeast

Hi,

If i did an IVA and did a soa which left me exactly £300 a month left. Would they make the IVA payment £300? , or is there a set percentage of repayment like 60% for example?

Matt

PayPeanuts_2

The IVA payment will consist of two things:

1. X pence in every pound that you owe to your creditors

2. The fees for your Insolvency Practitioner (specialist lawyer that puts together your IVA)

X will be determined by what the IP can get your creditors to agree to. The amount written off is up to 75% but usually closer to about 40/50%

Unlike a debt management plan it is based on what your creditors will accept instead of what you can afford. If you only have £300 left in an SOA you should take some independant advice before going for the IVA.

Hope this helps.

In_Search_Of_Me

Are you using one of the FREE agencies to arrange the IVA and if not suggest you get advice from them before you sign anything cos they do what fee based co's do for free IYKWIM! See links at the top for details...HTH

CLAPTON

You haven't really given us much info.. like how much your debts are, will there be an equity release etc but
In general they will want all your 300 so its ABSOLUTELY vital that your SOA is a realistic budget for five years .. just consider what can happen over five years .. will the car last that long, changes in income, family situation etc.
Many IVA eventually fail to complete because people are too optimistic about their living expenses.