i'm 5 yrs in to iva at £2350.00 pcm all up to date. due to equity release not being as much as hoped (actually zero)
my IP has requested a variation of an additional year at £2350.00. hmrc have rejected as the sale of my house would provide 50k and an additional year only 28k. my IP has asked them to reconsider. any other options you could suggest? hmrc make up over 75% of vote.
I thought the idea of an IVA, was to avoid such situations as having to sell your house. Do your Terms & Conditions stipulate that the selling of your house could be an option if re-mortgaging fails? I hope your IP is successful in his negotiations.
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
It is likely that this will have been discussed at the time of the IVA and this was always going to be a concern. I agree that a secured loan may solve the problem but this will depend on whether you can get the funds. It will also depend on whether the IVA is yours alone and the property jointly owned for if you have £50k equity in a solely owned property then a sale is the only realistic way to release this.
To be fair to HMRC they are consistent in their approach to IVAs and they did not sign up to protocol so you have little option other than to find the equity. You could try a two year extension but HMRC usually do not like IVAs going into a sixth year never mind a seventh.
