Hi
You mention £28k. Was this the total amount of your debt upon entering the IVA or is this the reduced amount giving only 30p/£?
If it is the latter and you have as much equity in your property as you say you do, your creditors are going to want all of their money. For example, if your total debt is £100k and your IVA offer was 30p/£, you will in effect be paying £30k plus IP fees. Depending on what you have paid into the IVA to date, for arguments sake, lets say have been paying £300 per month which equates to £10,800 over the last 3 years. Your equity release clause will in effect be 85% of the equity you raise(assuming you have £100k equity in the property at present), you will have to pay £85k, less the £10,800 plus reduced IP fees.
Perhaps if you upped your pence in the £ a tad, it might be tempting for your creditors so that you could end your IVA earlier. The IP experts on this site are correct, you would have to approach a sub-prime lender and not the high street banks. You will pay a bit more in interest but the figures quoted by various lenders are not as outrageously high as one would think.
Good luck
Sue
May I suggest that you discuss this with your IP
Ho Hum! Think I'll bang my drum!
Read My Blog
http://sadsack.blogs.iva.co.uk/
