Hi allI need some advice please?

[kallis3]

I thought they were changing their criteria on that again? I seem to remember seeing something on the news about it yesterday.

[MelanieGiles]

Yes - it was reported that they are starting to lend again as HMG has extended the period for their loan repayment to encourage more lending.

[voodoo]

Hi

I have spoken to Northern Rock today and they have told me they will not be able to offer me a remortgage now or in the near future due to their situation.

I have also spoken to Freeman Jones who have advised me to get a property valuation and my last mortgage statement and send them in to them, and they will take this information back to my creditors to find a solution as the equity release was a major part of the arrangement.

I also advised the equity in my property has increased not decreased. she did say they may be able to extend the arrangement for a further 12 months but asking for £15,000 over 12 months would be inpossible for me to pay!!!and until they have spoken to my creditors they are unable to advise me further.

I am presuming they may be able to put me onto a diffrent lending company !! but i did a mortgage review to a new 5 year fixed deal in 07 and if i move lenders there is an approx penalty of £3000.00

So any advice on what is likely to happen would be very much appreciated?

[kallis3]

Perhaps the news hasn't filtered down to the appropriate department voodoo - it's just been mentioned on the news again.

[MelanieGiles]

There is bound to be a sensible solution to this - let your IP consider how to address this and represent your problem to creditors.

[voodoo]

Hi all

Thanks for the information i will keep you updated on any further news.

[voodoo]

Hi all

Just a quick update on the Northern Rock situation as they have announced they are starting to lend again.

The information i previously was advised by Northern Rock is correct.

They are offering mortgages to first time buyers, buy to let, and life time mortgages, but not offering remortgages to existing customers who are not moving home, and also once an existing fixed deal mortgage expires they will not be offering competetive fixed deals again to people with existing mortgages.

I am sure this information may be of use to some of you.

Also this information is advertised on the Northern Rock website.

[voodoo]

Hi all

More avice needed please?

I am approaching the 5th year of my iva and have approached my mortgage company Northern Rock to release equity -they have refused as i mentioned previously. They have asked me to provide my last mortgage statement and get a house valuation on my property which i have done and they will take this back to my creditors. I sent this information to them on Wednesday.

I went into work on Wednesday afternoon and low and behold without any prior warning I have been told I am being made redundant and i am now in 90 days consultation.

I really dont know what to do next.

Even if i could afford a remortgage before i cant now?

Does anybody know if my iva will fail?

I will be getting some reduncancy money, so i can pay some money, but if i do that what do I live on?

Any advice would be grateful received.

[size5]

It never rains but it pours doesn't it? You need to approach your IP directly and discuss your next move. I am sure he or she will be sympathetic and a solution found, after all it is not in anyones best interest to let the IVA fail at this late stage.

Regards.

[MelanieGiles]

Given your circumstances, you may well be able to go to creditors and ask that your IVA be closed early on grounds that you have effected substantial comletion and, as a result of events outside of your control, are no longer able to make ongoing payments.

If you are getting redundancy money, you ought to be able to carry on with the payments until that has been absorbed in ongoing living costs.

[kallis3]

What bad luck about your job loss.

I hope you manage to get something sorted out about your IVA.

[voodoo]

Hi all

Thanks for the replies.

I will get approx £10,000 redundancy, and i was thinking about
offering them half of this which will equate to 5 full years
paid into the iva, but without being able to offer equity release
which was agreed at £15,000 do you think this will be accepted?

Also if they disagree to the offer can they make me go bankrupt
or sell my house?

At the moment my head is in a constant swirl of ifs and buts and
as i am sure most people on this forum know how this feels, thank you all for taking the time for the excellent advice given.

[MelanieGiles]

I think that this would be a very fair offer, and would leave you with some money to enable you to take a little time to find a new job.

Make sure you have a chat with your IP on Monday if you can.

[David Mond]

Was the equity release clause based on a valuation 5 years ago and that was the figure promised OR were you required to have a revaluation? In either way property prices have droppped and your "old equity" might not now be there. An offer from your redundancy seems fair. Discuss with your Supervisor (IP) as soon as possible and let us know how you get on.

[kallis3]

You could have your house revalued anyway, just to see if it is in negative equity.

That at least would put your mind at rest.