i owe 47000 pounds to 11 creditors

[carl.h]

i owe £47000 to 11 creditors i can afford about £240 a month is it best for an iva or debt management?. my mortgage is for 105000 my house is worth about £130000 i have re-mortgaged 14 months ago if going into an iva at what point will i have to re-mortgage again. i currentley have 19years left on my mortgage

[iva experts]

Welcome to the Forum Carl,

I would advise that you contact at least 2 or 3 debt solution companies, so then you can cancel out any ill advice and bringing re-assurance.

With the amount of debt you have with your low disposable income it would take you over 16 years to pay off your total debt through a DMP.

Could you provide who your creditors are?

Best Regards,
IVA Experts
http://www.iva-experts.co.uk/

[bagpuss]

Hiya Carl...just for comparison although every case is different....i owed 72k to 11 creditors and had 22k equity...we did a one of payment IVA of about 14k ... we remortaged to get the 14k from the equity. To afford the new higher monthly mortgage payments we did have to go back to 30 years...We used Grant Thornton. This 14k was accecpeted by the creditors and out IVA was then complete. It does till stay on your credit file for 6 years though...(not that i mind) Try not to worry .. there IS help out there for you...HTH x

[MelanieGiles]

Hi Carl

If you enter into an IVA you will make payments for 60 months and be required to release equity during the final year by way of a remortgage, but the arrangement would end at the end of the fifth year.

Under a DMP you will carry on making payments until the debts are paid off in full - in your case this would take well over 16 years.

Only you can decide which option is better.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

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

[Adam Davies]

Hi Carl
£240 a month in an IVA will generate £14400,less IP fees 3k[if Tix] but probably 6k,will leave 8k for creditors,a dividend of less than 15p.
I think that an IVA will not be viable as a min 25p dividend is the norm.Are you sure that £240 is your disposible income ?

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]

Andy

You have forgotten the equity in the property!

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

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

[Adam Davies]

Hi
No,I looked at that but the LTV mortgage is near 85% at the moment.
Do you tink that creditors would agree to an IVA even though there is a possibility of no equity in year 4 ?
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]

Yes - because the property is very likely to increase in value, and the mortgage will reduce (assuming it is a repayment mortgage). And there is currently £5,500 available under the 85% LTV ruling, which throws the dividend up to 29p in the £ in any case.

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

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

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

[Adam Davies]

Hi
Your right !!
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