IVA specialist arranging to visit Please help

[lisaj]

Please help - IVA specialist arranging to visit tomorrow. Currently owe £36,000.00 to 8 debtors (none secured all up to date so far). Been offered home secured loan £25,000.00 over 25 years by one of the creditors (big bank). 4 creditors are of the same bank.
IVA proposal £250.00 per month over 5 years which adds to £16,500.00 balance £19,500.oo - will have remortgage in 5 years - is there any other additional costs that the IVA people will add on. Very concern. If so, please advise which would be the best option, IVA or home owner loan -current equity £30,000.00 thank you

[MelanieGiles]

Hi lisaj and welcome to the forum

What would you intend doing with the homeowner loan - as this does not give you enough money to repay all of your creditors. How much are the loan payments per month? Can you afford to pay these, and continue to service the £11,000 of debts which will remain?

Don't forget that the loan is payable over 25 years, whereas the IVA would be concluded in 5, although you will probably have to remortgage at the end of the IVA in any case to raise the equity.

As you have an IVA specialist visiting you tomorrow, who will be able to deal with your case in far greater detail that we can on the forum, I suggest you have a look at my last couple of blogs which give some useful advice on areas to ask an IVA adviser. Which firm are you using as a matter of interest?

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