|Grade||Charge-out rate (£ per hour)||September 15|
|Partner - appointment taker||£350||£375|
|Supervisor / Senior Administrator||£125||£130|
Time costs are calculated using 6-minute updates.
Time spent by support and secretarial staff for carrying out shorter tasks, such as typing or dealing with post, is not charged to cases but is carried as an overhead of the firm. Only where a significant amount of time is spent at one time on a case is a charge made for support staff.
Any potential voluntary arrangement or Trust Deed fees would be on a Fixed Fee basis in respect of work done at the pre-appointment stage and on a percentage basis once the solution was formally confirmed.
Expenses are amounts properly payable by the office holder from the estate including but not limited to realisation costs such as agent fees, tax liabilities, solicitors and claims management companies. Any expenses not disclosed on the estimated outcome statement will be disclosed in the annual report to creditors.
The costs charged by suppliers are reviewed at least annually by the Pinnacle Board.
In accordance with Statement of Insolvency Practice 9 (SIP9) the basis of disbursement allocation in respect of disbursements incurred by the Office Holder in connection with the administration of the estate must be fully disclosed to creditors. Disbursements are categorised as either Category 1 or Category 2.
Category 1 – expenses are directly referable to an invoice from a third party. These disbursements are recoverable in full from the estate without the prior approval of creditors either by a direct payment from the estate or, where the firm has made payment on behalf of the estate, by a recharge of the amount invoiced by the third party. Examples of category 1 disbursements are post, couriers and specific bond insurance. An itemised breakdown of the estimated disbursements will be included at Appendix C of the Proposal. A schedule of disbursements recovered and those incurred but not currently recovered is published on the website.
Category 2 – expenses incurred by the firm are not recharged to the estate.
|Disbursement||Cost||Third party provider||Frequency of disbursement||Notes|
|AiB Advertising Fee||Charged at cost - £35 - for the advertisement of a Trust Deed within the Register of Insolvencies.||AiB||Once (unless re-advertised)||1|
|AiB Registration Fee||Charged at cost - £36 - for the registration of the Trust Deed with the AiB.||AiB||Once|
|AiB Supervision fee||Charged at cost - £100 - for the supervision of a Trustee in a Protected Trust Deed.||AiB||Annually|
|AiB Sequestration fee||Various fees - charged at cost|
|Assignation of salary and other enforcement||Charged at cost||Stirling Park LLP||N/A|
|Bank charges||Monthly cost per case determined by bank.||Barclays Bank Plc||Annually to 2016, quarterly from 2017||2|
|Books of Council & Session||For the formal entering of a Protected Trust Deed in the Registers of Scotland - charged at cost - £10||Registers of Scotland||Once after protection|
|Bordereau||Charged annually and based on level of anticipated total asset realisations. Invoices received and paid monthly. Enhanced bond to cover non-appointment taking staff of all levels for an additional £1 per annum per case.||Kingsbridge Risk Solutions Ltd||Annually||3|
|Claims review fee||Where the client meets the necessary criteria, a review will be undertaken into any potential compensation for the mis-selling of but not limited to Payment Protection Insurance, Packaged Bank Accounts and pay day loans or any other potential mis-sold products||FTR (from 1 December 2017)||Once after approval / protection||4|
|Courier||£120 - for the collection of proposal/Trust Deed and other associated documents from the debtor throughout the period of the arrangement||FTR (from 1 December 2017)||Once after approval / protection|
|Credit search||Up to £28 plus VAT depending on the type of search requested||Cast Light Limited||As required|
|Creditor guarantee cover policy||Policy to be taken out in respect of any debtor up to the age of 75 (no exclusions based on medical, geographical or stress factors) and will guarantee the last reported dividend to creditors in the event of death or diagnosed terminal illness of the debtor of their partner and will allow the arrangement to be concluded. Based on contributions up to £250 per month and 12 months' contributions in lieu of equity over £5,000. The office holder's fee and disbursements are not covered by the policy. The cover is effective from the 1st contribution made by the debtor and is charge at 2% of contribution up to a maximum of £250 over the term. (Previously charged at 1.75% for September & October 2015 and 1.81% November 2014 to July 2017 due to the rise in IPT)||Kingsbridge Risk Solutions Ltd||Upon contribution||5|
|DTI IVA registration fee||£15||Insolvency Service||Once (once per client in the event of an interlocking IVA)|
|Edinburgh Gazette||For the advertisement of a Trust Deed in the Edinburgh Gazette - charged at cost||Edinburgh Gazette||Once pre November 2013|
|Equifax||Charged at cost - £2.70 - confirmation of a debtor's identity where required Charged at cost - £2.70||Equifax||As required|
|HPI Check||Charged at cost - £3.60 per search until February 2017, reduced to £2.73 per search after this date - finance search for motor vehicles||CAP HPI||As required|
|Inhibition Fees||Charged for registering (£15) and releasing (£15) inhibitions against clients at the Registers of Scotland||Registers of Scotland||Once|
|Property valuations, equity reviews and IVA month 54 obligations||Charged for registering (£15) and releasing (£15) inhibitions against clients at the Registers of Scotland||The Select Partnership, DM Hall, NSMG||Once||4 & 6|
|IVA and TD software charges||The cost of software that is directly attributable to the case will be recharged. Set up fee of £180 plus £60 annual charge payable in advance; 50% discount in the final year. From February 2017, 50% discount in the fifth year and thereafter. If the debtor has complied with all their obligations within 3 months of their final payment, no charge will be made for software in the administration period.||FTR (from 1 December 2017)||Annually|
|Land Registry / Searches||Different services charged at prevailing rate||Land Registry||As required|
|Legal Fees||As required||Various||As agreed|
|PPI 3rd party fee||Realisation costs vary depending on which claims management company has been instructed whether by FTR or by the client||Various||Upon receipt of the realised funds. Third party feed on taken off balance outcomes are subject to the benefit to creditors in dividend enhancement.||4 & 7|
|Storage, file management, scanning and destruction||£36 per case||FTR (from 1 December 2017)||Once|
- Accountant in Bankruptcy (‘AiB’).
- Negotiations regarding free banking on the client hub account are ongoing and although original indications were that this may be achieved by Q3 2017, the monthly charge will continue until the end of year until resolved.
- Enhanced bond to cover non-appointment taking staff of all levels for an additional £1 per annum per case. Non-recoverable bond paid by Pinnacle to cover returned creditor payments on closed cases up to a total of £1,000,000. Kingsbridge Risk Solutions Limited is an independent 3rd party with no associations or connections with Pinnacle other than as their insurance broker.
- Chapel Outsourcing Limited, an independent third-party company, has been engaged to provide a number of the services that could not be carried out by the office holder, to the insolvent estates, as detailed above. They are contractually obliged to deliver best value and service. To achieve this they are contractually entitled to outsource any element of the service at their discretion. The full service must be delivered direct to the insolvent estate by Chapel Outsourcing Limited.
- Policy to be taken out in respect of any debtor up to the age of 75 (no exclusions based on medical, geographical or stress factors) and will guarantee the last reported dividend to creditors in the event of death or diagnosed terminal illness of the debtor of their partner and will allow the arrangement to be concluded. Based on contributions up to £250 per month and 12 months’ contributions in lieu of equity over £5,000. The office holder’s fee and disbursements are not covered by the policy. The cover is effective from the 1st contribution made by the debtor and is charge at 2% of contribution up to a maximum of £250 over the term. (Previously charged at 1.75% for September & October 2015 and 1.81% November 2014 to July 2017 due to the rise in IPT). In the event that an IVA variation meeting is still required after a claim has been settled no fee will be charged.
- PPI realisation costs are only paid on set off where the dividend has improved