I think your right Foggy..........needs a couple or three IP's to speak to the banks and see what their take is on this.
I know that from experience with the Northern Rock (now Virgin) that both were aware of my IVA status from the outset as the former had to sanction my moving from "capital" to "interest only" (for IVA repayment purposes), albeit that when Virgin assumed my mortgage they would not allow me to continue on IO and stipulated that my capital repayments would, in addition, be increased to take into account the monies owed over the period of my current mortgage.
Last edited by Pennyless on Fri May 03, 2013 12:23 pm, edited 1 time in total.
I came into this world with nothing and still have most of it left!
This is a real worry that I am trying to ignore but struggling to
We saw a light at the end of the dark tunnel but it feels it could be snatched away. The mortgage company I assume are informed of the IVA and hence could then invoke the clause. I assume on here someone must have had mortgages with the relevant banks and gone through the IVA route. If they enforce it with us then they will get nothing...
Ox you could always contact your mortgage company and see what they say......after all one of the initial purposes of the IVA was to secure the property and secondly "Part VIII of the Insolvency Act 1986" states
254 Effect of application.E+W.(1)At any time when an application under section 253 for an interim order is pending .
[F6
(a)no landlord or other person to whom rent is payable may exercise any right of forfeiture by peaceable re-entry in relation to premises let to the debtor in respect of a failure by the debtor to comply with any term or condition of his tenancy of such premises, except with the leave of the court, and .
(b)], the court may [F7 forbid the levying of any distress on the debtor’s property or its subsequent sale, or both, and] stay any action, execution or other legal process against the property or person of the debtor.
254 (b) could obviously be of use here and offer protection in cases where banks demanded the full monies outstanding on a mortgage when the owner seeks a voluntary arrangement.
If I were you I'd speak to not only Citizens Advice but also your local MP......after all if banks are heading down this line then it could have a material effect on anyone with a mortgage getting an IVA and would be another cause of concern for a large amount of households in our position thus ultimately leading to a higher amount of repossessions and thus enhancing the country's ability to fall deeper into recession.
Then again i suppose it would all matter little to our current Chancellor!
Last edited by Pennyless on Fri May 03, 2013 2:35 pm, edited 1 time in total.
I came into this world with nothing and still have most of it left!
Just wondering...are you in a joint IVA or single? If single, I'm assuming you'd have to have permission from your partner to sell - not sure if the bank could force both of you if only one of you was in an IVA?
Although in any case, I've not heard of this happening. I was with a High St bank - had an account included in the IVA, and also had my mortgage with them. The mortgage was never questioned, so hopefully this is just a catch-all in case the arrangement looks as if it is going to fail?
Last edited by kittyface on Fri May 03, 2013 2:57 pm, edited 1 time in total.
You are correct this I assume would impact alot of people on here if banks were to hold that stance. Interested to see Flossums response Is this a way to get more people onto DMPs so banks can get more back over a longer period of time. This has ruined my bank hol weekend now
Please don't let it. From experience (and a chronic anxiety disorder) I know only too well how weekends/holidays are ruined by things like this. Just try & focus on right now, and the fact that you are on your way to sorting your debt problems out. You can't do anything about this, unless you are willing to ring your bank and ask the question - although I have to say I'd be inclined to leave it.
Unfortunately, no-one can say what will happen in future, but as mentioned, I don't know of anyone in an IVA that has had to pay up in this way - and I would think that if this was to go as far as court, then any judge would rule in your favour if you have made mortgage repayments & kept paying into your IVA. I think a lot of institutions are adding things in so that they *can* do certain things if necessary, rather than *will* do. I also suspect that that clause is there so that if you are struggling to pay either the mortgage or the IVA that you choose the mortgage first in case the IVA fails and you go bankrupt, hence they get nothing.
Last edited by kittyface on Fri May 03, 2013 3:37 pm, edited 1 time in total.
Think I may have that also (Chronic An Disorder) everything fears me at the moment especially this I dont really want this to get to court.
My meds may need upping i think.[:(]
Back spiralling as the wife calls it worrying about the kids etc
[V]
Last edited by Ox1987 on Fri May 03, 2013 4:06 pm, edited 1 time in total.
I know and I trust them implicity and Tina and Mel have been great putting up with me so far. Just this mortgage hiccup has thrown me off and made me worry about losing the house (the kids home). My kids are very young (8,4,and 0.5) I love them to pieces and I don't want to ruin their lives.
Please don't let this ruin your weekend Ox. I've been posting on the forum for many years now and I honestly don't remember anyone having problems with this.
As Kittyface says, no one knows what will happen in the future (whether you are in an IVA or not) so please try not to worry - you're with a good team and I'm sure you will be fine.
Please don't let it. From experience (and a chronic anxiety disorder) I know only too well how weekends/holidays are ruined by things like this. Just try & focus on right now, and the fact that you are on your way to sorting your debt problems out. You can't do anything about this, unless you are willing to ring your bank and ask the question - although I have to say I'd be inclined to leave it.
