I could be in danger of losing my home

[desperateneed]

After a divorce in 2002 I was advised to take out an IVA. Part of the conditions was that I re-mortgage in year-4, which is now; however, my property is a 50% share with a housing association. I told my IVA company this before agreeing to the IVA and expressed concern that I would not be able to obtain a re-mortgage under these circumstances - they assured me that this was nothing to worry about, and guess what? It is!

My mortgage provider will not re-mortgage on a co-owned property for debt purposes, neither will the mortgage company owned by my IVA provider. Today they tell me I could be in danger of losing my home. I feel that I have been been ill-advised and now in a catch 22 position ... I jsut don't know what to do next - all ideas welcome.

[Skippy]

Hi Desperateneed and welcome to the forum.

I'm sorry that you are having these worries. Have you asked your IP if you could add an extra year onto the end of your IVA in lieu of equity release? I'm not sure if this would be possible but I have heard of it happening. I'm sure one of the experts will be along to advise shortly.

Yesterday is history, tomorrow is a mystery, today is the present - a gift to make the most of.

View my blog at http://skippy13.blogs.iva.co.uk/

[Adam Davies]

Hi
You have been badly advised by your IVA provider
It is near impossible to remortgage to raise capital with a shared equity home.
Ask your IVA provider to request a variation meeting asking for a one year extension to your IVA instead of the equity release and ask them to inform your creditors that you are unable to get a mortgage offer.
Please keep this forum advised.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[MelanieGiles]

Absolute rot that you will lose your home - neither creditors nor your IP will want the adverse publicity of that.

This should have been picked up when the proposals were being prepared, and your IP has some responsibility for this. As Andy says, I suggest a variation meeting saying that you cannot achieve the purposes of the proposal, but that you will make your contributions until the end of the fifth year. Let your creditors suggest a modification for an additional year if they feel this is necessary.

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

[desperateneed]

Absolute rot that you will lose your home - neither creditors nor your IP will want the adverse publicity of that.

This should have been picked up when the proposals were being prepared, and your IP has some responsibility for this. As Andy says, I suggest a variation meeting saying that you cannot achieve the purposes of the proposal, but that you will make your contributions until the end of the fifth year. Let your creditors suggest a modification for an additional year if they feel this is necessary.

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

[mikebdomain]

Hi desperateneed

I have had a quick search of lenders criteria and you are quite right, it is very difficult do remortgage whilst in an IVA, with a 50% shared ownership with a housing association. Most of our lenders require the IVA to be satisfied for 12 months.

Very difficult but not impossible, the lender Chesire mortgages has a product that will fit your needs, unfortunately they are not on our lender panel, so I can not help – You need to speak to a mortgage broker that deals with Chesire mortgages. I am not sure if welshboy uses them, he may be able to help more.


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[iva experts]

Desperateneed, Sorry to hear that you have been ill advised. I would get into contact with your I.P as soon as possible to discussed paying into your IVA for another year instead of an equity release.

Please continue to update us on your situation.

Best Regards. IVA Experts

[iva.com]

Hello Desperateneed,

I am sorry to hear that you have been misadvised. Would you consider posting a review of your experiences at www.IVA.com? This could help others entering into an IVA to avoid a similar situation.

I hope that you are able to arrange a suitable variation.

Kind regards,
Terry Balfour
IVA.com

IVA.com - The IVA Comparison Site
100s of reviews, All IPs and IVA firms rated.

Use our IVA firm comparison tool to find best IVA firm for you:
http://www.iva.com/iva_comparison_1.asp

[desperateneed]

Hi everybody, and thank-you for your support, it has really lifted my spirits and helped me back into a fighting mode (rather than just taking to me bed!). Off to see a solicitor at 3pm today and will update this forum of the outcome. In response to Terry's request ... just try and stop me; it would be an absolute pleasure!
Once again, thanks to you all, and I will be in touch very soon ...

[desperateneed]

I now stand to lose my home and possibly even my job?

[desperateneed]

I have to come up with 20K NOW or I lose my house. If I had £20k I would not be in this situlation in the first place. The IV have refused the suggestion re extending over another 24 x months. All comments welcome.

[Adam Davies]

Hi
How are they going to make you lose your house ?
Has your IP threatened bankruptcy ?
What a ridiculous situation,you need to formally ask your IP to propose a variation meeting to state that you are unable to remortgage as the proprety is a shared ownership house.
The whole idea of an IVA over bankruptcy is to protect you from having to sell your property.
Please keep this forum updated and have a look at the Cheshire mortgages to see if they can help as per Mikes suggestion
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp

[MelanieGiles]

I suggest you now take this to a solicitor. An IVA was presented for you with an unworkable contractual terms which could not be achieved from day 1.

My suggestion is that you insist the the IP calls a meeting of creditors to agree a way forward on the basis that you cannot raise money against this property - a sharp solicitors letter ought to do the trick.

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

To appoint me as your IP visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

[desperateneed]

Hi Both and thanks. I have been to see a solitor and it is him who has suggested I

[desperateneed]

Sorry (again), with all the stress I am having trouble pressing the correct keys! Anyway, to reiterate; I have seen a solicitor and have spoken to him today, but he states that as I signed the agreement (the modification was dropped on my toes on the day of the creditors meeting - with no time for me to review the implications) he suggests that I either sell, or come up with the £20k. Sorry, but I don't agree; they have set me up to fail.