We are 5 payments away from completing our IVA,IVA gone really well, no problems, no arrears, up todate. Our equity release clause was orginally 6,000 but not after valuation it has changed to 15,000. Mortgage o/s is 110,000 (current redemtion) value of house 140,000. No chance of a remortgage, rejected, so 12 months extension, ok fine we did understand this clause, but is wrong/rude/stupid to ask your advisor to discuss a possible reduction. Everybodies lives are hard, but we have been hit with parental death, a brother who commited suicide and a father who is now in final stages of terminal heart failure. WE need have to have some light at the end of a tunel.
I would just like some advice before we pose the question to our iva providor.
Thank you
You have my sympathies and if your IP can help I am sure they will. However to justify closure you would need to show how these tragedies have impacted on your finances for example if you are working less to look after your father.
Most creditors and IPs would like to be able to close down cases such as yours but they need some justification to be able to do so.
Hello to those who replied, and thank you, however, I think I may have mis wrote, as we are prepared and accept that we need to do the five years, it was the extension for 12 months I wanted advice on, would the creditors consider a shorter period, to allow us to move forward with our lives.
Yes with my father being so po it does impact us financially but we have just scmped and saved and found the extra petrol money from our monthly allowance.
I am scared to ask the question incase we jeopardise our plan.
There is absolutely no harm in asking the question. Even if you propose a closure at the end of the five years due to the current situation and creditors reject, it only means the proposal stays as it is. It does not mean the IVA fails.
Have a word with your IP and ask them to call a variation to close now or at least reduce the payments significantly. Creditors are usually sympathetic to health issues and hopefully your IP can call a quick variation and help you through this.
Thank you for your advice, I will email my advisor in the morning, I just dont want him to think we are trying to wriggle out of our responsibilities to the creditors, but in all honest and without bein dramatic i cannot face another 12 months when we have been working towards and starting to see a dim but brightening light in 2015.
I suppose i am saying i dont want to appear like i am begging.
So sorry for all your troubles at the moment. Do speak to your IP, I'm sure they can do something to help you. I had a very similar scenario and my IP reduced our payment by 50% for 3 months which we made up at the end with a 3 month extension. Hope things start getting a bit brighter for you.
