Pay off PIA with lump sum from a relative

Y

yrrab

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Im nearly three years into a Pia.There is only one creditor involved and i owe them about 40k.I have a relitive who can pay a lump sum but its not a a hugh amount approx, 25% of whats owed.Has anyone got any experience in this area or has managed to close out a pia midterm.thankyou
 
So,the creditor will get 36k back if they just collect the 1k for the next 3 years?
I think you'd need to be well over 20 for a creditor to contemplate it.
As an aside,if you can repay all but 4k of the debt in 6 years,did you need a PIA?
 
Thanks for reply.Im hoping to get an answer from someone directly involved like a Pip who has accomplished a variation or someone who has recently closed out a Pia in a similar position.I read in a Grant Thornton report that banks are keen to get rid of Pia s and are accepting lower lump sums compared to a few years back as final settlements.Im also wondering about the fees involved to complete.many thanks
 
PIPs prefer dealing with "Lump Sum" PIAs as they are faster and simpler. Indeed, over 75% of the PIA's that we do are Lump Sum PIAs.

It is possible to do a Variation. Obviously, it is up to the creditor to accept or reject it. Our minimum fee for a Variation is €1,000 + VAT. Your own PIP will provide you a fee quotation for carrying out a Variation.

Jim Stafford
 
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