Considering an IVA ..a question please

ferry

Just considering an IVA and will of course take advice from one of the charities but i would like to know if I have say 5 creditors and 4 vote yes but 1 does not , does the creditor who votes no have to legally abide with the propsal? 
Thanks

sourcrates

Hi ferry,
75% of your creditors, by value of debt, must agree to the proposal for it to be passed.

Once it is passed, then it is legally binding on all of your creditors yes.

So you need the creditors with the highest value of debt to agree to it, in order to move forward.

ferry

Thanks always SC

Nodding_Donkey

sourcrates said:

Hi ferry,
75% of your creditors, by value of debt, who vote, must agree to the proposal for it to be passed.

Once it is passed, then it is legally binding on all of your creditors yes.

So you need the creditors with the highest value of debt to agree to it, in order to move forward.

If they don't vote they don't count.