my life has changed a bit

[sals]

I have an IVA and i'm about to start my 3yr. I pay £350 per month. I am hoping to reduce this to £300 per month. However I would like to know if I could do a full and final because my life has changed a bit - I've met someone and we want to live together...maybe buy a property in the near future.
My house is worth about £145k and my mortgage is @ £85k. I have a secured loan of @ £5k which I want to pay off asap. I want to know if a full and final would the answer. I have this equity all this equity in my house and yet I am struggling with my cashflow.

My IVA was for £33k which includes a final yr payment of £15k which would be financed by remortgaging my house.

Can I sell my house and raise the cash for the IVA and pay off my secured loan and then get on with my life?? I'm sure it couldn't be that easy....£60k equity...bad cashflow at the minute...isn't this a solution or would the creditors want more??

[MelanieGiles]

Are you required to pay a straight £15k in the final year, or is this to be based upon a revaluation of your property at that time? If this is the case, then a full and final settlement ought to be possible, providing that you endeavour to offer at lest the dividend that you originally pledged to creditors - which seems likely from the figures you have quoted.

Check the terms of your proposal thoroughly, and ask your IP to provide you with a settlement figure, together with their thoughts as to the viability of your suggestion,

And good luck in the future with that new partner!

[jaspersgirl2]

Thanks Melanie. I have contacted my IP afew times about this but can't seem to get a definate answer re: full and final.

As far as I can see the final yr payment was £15k with a valuation on the house. I wasn't aware this could increase though...but maybe as the house has increased in value that will happen.

I just feel the full and final would be the solution for me. I work full time and earn in the region of £28k with annual increments so hopefully life will get better in the future!!

Will contact Budsworth again and see what they think..although they seem pretty busy sorting out my annual review. Will keep you posted.

Thanks again.

[jaspersgirl2]

Thanks Melanie will keep you intouch

[MelanieGiles]

Beverley Budsworth is a widely respected practitioner in the North West, and I am sure that if you manage to speak to her directly she will be able to reassure you on this point.

Alternatively you could post the exact wording of the clause on the forum and I, or one of the other experts, can perhaps advise you - but do remember that no advice is better than that from your own IP - as they have detailed knowledge of your case.

[jaspersgirl2]

Thanx will try and get hold of her. I've not had any problems with them so far so that's good. Will let you know how I get on.