Could you advise me of any way I can get a loan

[fishkeeper]

Hello - I entered into an IVA in December 2002 and I recieved my Certificate of Notice of Completion dated 29/11/2005 - I have just tried to get a home improvement loan added to my outstanding 13 year mortgage (the mortgage is for £22000 and the equity in the property is £80000) - the extra amount I was looking for was £6000 and I was refused by my exsisting mortgage company (Abbey, they have told me I should apply for a personal loan from them instead (which I think will be a waste of my time if they wont extend my mortgage amount with the equity we have in the property - I have read on this forum that a mark will stay on a credit file for 6 years after an IVA, will I have to ask for this to be removed and can I get it taken off earlier? -

There was no problem with the extra loan (ie saleries were passed and as I said before lots of equity)until they did a credit check on me (I did tell them about the IVA during the loan application)
Could you advise me of any way I can get a loan for home improvement on our property??
Many thanks in advance

[finebridge]

Hi fishkeeper

You may find it helpful to send a copy of your Notice of Completion to the credit agencies like experien to ensure it is registered on your file. However, notwithstanding any entries on your file it always remains at the bank's discretion as to whether they will lend or not. I believe each bank has differing criteria so it may be wise to shop around.

A mortgage broker may be able to refinance the whole package for you depending on property values etc. [Do bear in mind any possible penalties and costs though]. I'm no expert on mortgages but I'm sure somebody would be able to help you for £6k and a property with £80k equity.

Kind regards
Brian Baker

Finebridge Ltd
22 Laud Street, Croydon, CR0 1SU
0800 180 4212
www.finebridge.co.uk

[Storm]

You would have no problem getting a secured loan with those equity levels.

If you need details of companies that would do this I can recommend a couple.

[MelanieGiles]

I would suggest re-mortgage every time. If Abbey don't want the benefit of interest payments from you for the next 13 years, then there will be plenty of other lenders who will. The interest rate on a mortgage will be substantially lower than that on a secured or unsecured loan.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Welsh Boy]

Re-mortgage would seem the best advice for you, although the definition of a mortgage is a "secured loan on a property", a secured loan as it is generally perceived would mean a higher rate of interest for you to pay. There would be lenders out there who would happily allow you to remortgage with them based on the information you have given.

[neverending]

Hi
If you decide to remortgage I can recommend a broker called LEYBRIDGE,01202 55 56 66.
regards

[fishkeeper]

Hello and many thanks for the information from all of you - I am interested in the remortgage idea (if Abbey turn me down for £6000 I would rather pay the next 13 years interest to another company) - I will make some enquiries as to interest rates during the next week.
My son lives at home with us and may want to take out a loan to buy a car, will my completed IVA affect him? ie is my home address on some sort of blacklist?

Thanks again for the help you have all given me and I will continue to read the questions and answers on this informative forum

Jeff

[MelanieGiles]

Hi Jeff

Good luck with the remortgage option.

Your own financial situation is unlikely to blacklist your son's application, but if he does run into difficulties he can always file a Notice of Disassociation with you at the credit scoring agencies.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk