Dear Andy really need some advice ASAP

[alan.s]

Dear Andy

I entered into an IVA agreement just over a year ago with a Sheffield based company “Probitas” the business I was partner in failed and I had given Personal Guarantees for the overdraft etc.

I have been making regular payments of £400 per month and have not missed any payments at all. Part of the agreement was an equity release of £13,000 to be paid with 9 months of the agreement. I was making arrangements for this to happen when the company contacted me and asked me to supply information concerning my income, outgoings and value of the my home ( owned jointly with my wife ). I collated all that was required and had a local estate agent re-value my property.

On Saturday I received a letter informing me that the equity release payment was to be increased to £41,000. The basis for the increase was that they have valued the property £40,000 more that the local estate agent.

When I submitted the information I clearly showed that income just about covered my outgoings ( inc the IVA payment ) and as a self employed person I do not have a regular wage every month so some times it can be very tight to make ends meet.

Could you please advise on the following:-

1) Do I have to accept their valuation?
2) Do they have to take account of my current income and expenditure?
3) Do you know of this company?
4) What happens if I cannot raise the money – can they force me to sell or repossess?

I am extremely worried and did not sleep all weekend really need some advice ASAP

Many thanks

Regards


Alan

[MelanieGiles]

Hi Alan

I'll answer this for Andy as he is probably having an early night!

You will need to revert to the exact wording of your IVA proposal with regard to the amount of equity. Can you reproduce the wording on the forum so that I can advise further. Was there provision for revaluation of your property at the 9 month point?

You do not have to accept the valuaton if you think it is wrong. I suggest that you get another independent agent to provide an alternate valuation if there is any doubt. It seems odd that a property would increase so much in value over a 9 month period.

Probitas are part of the Poppleton & Appleby Group of Companies. They tend to work more in the corporate marketplace but do do some personal insolvency work.

Let's deal with the final point of your query when we know exactly what you agreed to do within the IVA proposal document.

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

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

[alan.s]

hi Melanie
I have all the details of my IVA on my PC would you suggest I place it on the forum for you to look at?

Regards

Alan.s

[MelanieGiles]

Perhaps a summary if you can do that.

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

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