In Desperate need of advice

[coolchick33]

Hi Everyone,

 

Myself and my husband have debts of around £42000, we entered into a debt managment plan with a company in Nov 09, we paid into the DMP £650 every month and it was a struggle getting the creditors to freeze interest. It just wasnt working out for us, we paid in over £6000 and the debt has been reduced by £400!!! We could cry! It will take approx 100 years to clear. We have now gone down the IVA route which is being put together as we speak, we understand in 5 years we will be debt free which can't come soon enough, but now my parents have come forward and offered to give us £15000 to clear the debt off with a full and final settlement, both myself and my husband are working. I am just not sure how we would go about this? Would the creditors be likely to accept this offer, would it be a good idea to get our IP to negotiate on our behalf or do it ourselves?

Anybodys thoughts on this would be greatly appreciated we just don't know what to do for the best.

 

I look forward to your replies

 

Claire

[rebel11]

Hi Cool

 

Welcome to CAG

 

The guys will advise as soon as they are available.

 

You can do a Full and Final settlement by yourselves, but you need to be very careful. If it's not done correctly it could defeat the object. The creditors might accept

having a lump sum rather then monthly payments which could take a long time. You will get good advise from the guys.

 

Heres an example and info on Full and Final Settlement:-

 

http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=24_full_and_final_settlement_offers

[crabbingtime]

If your parents are willing to lend you £15,000 this may be a one off payment for an IVA. The Insolvency Practitioner will advise you of this!!!!!

[sequenci]

Hello there,

 

Welcome to the forums.

 

You can see various links in my signature to blog entries I've written on dealing with debts. There is a good section in relation to the options you have and also one about full & final settlements. Please take time to have a read through and if you have any further questions feel free to ask them on here where we will all advise you.

 

Best wishes,

 

Seq.

[liquidauctions]

If your parents are willing to lend you £15,000 this may be a one off payment for an IVA. The Insolvency Practitioner will advise you of this!!!!!

 

 

But it will be on the OP's records for 6 years! Id try to get the banks to take the offer and make sure you tell them that the next route is bankruptcy to scare them a bit.