Does anyone have experience or advice of dealing with Northern Rock when you have a mortgage with them that was topped up with an unsecured loan (as I have).
I'm advised that it's possible to separate the two loans and for the Northern Rock to become one of your creditors for the unsecured part whilst you continue to pay the secured mortgage on a monthly basis.
Is it possible for Northern Rock to take my monthly mortgage payments and allocate them against the unsecured loan (thereby leaving me with growing mortgage arrears)?
Also, I'm advised that Northern Rock insist on 72 month IVAs.
Hi
NR are agreeable to IVAs as long as you fit a certain criterea.
They will not used your secured monthly payments to pay your unsecured as they will be bound by the terms of your IVA.
You need to chat with an several experts/companies and go through your options
Regards
I have a lot of experience of dealing with this firm, who despite the myths I often see quoted do actually accept around 80% of the IVA proposals put in front of them.
Andy - could you expand on 'certain criteria' please?
Is my understanding correct regarding Northern Rock's insistence on 72 month IVAs?
Regards
I dont think its just northern rock nowadays who push for 72 month iva's, partly due to the inability of people to release equity in the 4th year given the current lending climate.
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
I recently had my IVA turned down and it was only Northern Rock that didn't agree. They want me to go to an interest only mortgage but only after I have agreed payments with all of my other creditors so they are not going to agree the IVA anyway. There trying to push me down a route of adding more debt to me when I come out of the IVA as I would not have paid anything off of the mortgage. If I go bankrupt then they will get nothing. It doesn't work out to me. i have tried to pay something back but they just want more all of the time. I wish the govt hadn't have helped them and they went under. They might know what it's like then.
Cath wrote:
But then the 72 month could turn into 84 months couldn't it, with the equity release criterea?
Yes it could quite easily. Up here in scotland an IVA's equivalent is called a protected trust deed and runs for 36 months normally,though many are going through that are due to run for 42 months to get a better return for creditors.
What you have to work out is how much better off are you under the protection of an IVA?? Or how better off you could be if you went BR?
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
Cath wrote:
But then the 72 month could turn into 84 months couldn't it, with the equity release criterea?
Yes it could quite easily. Up here in scotland an IVA's equivalent is called a protected trust deed and runs for 36 months normally,though many are going through that are due to run for 42 months to get a better return for creditors.
What you have to work out is how much better off are you under the protection of an IVA?? Or how better off you could be if you went BR?
Oh of course, I agree, if I could pay it all back I would. It's the movong of the goal posts I was meaning, although I understand that NR have had their criteria in place for some time. I should have thought about it more when they offered me a loan on what I now see as rediculous terms.
Last edited by Cath on Tue Sep 08, 2009 5:27 pm, edited 1 time in total.
7 year IVA completed in December 2016 - there is light at the end of that tunnel
danny if you go onto a interest only mortgage wont a iva be more favourable to northern rock.because this would give you more disposable income to offer a higher dividend.
I am sorry to hear that your IVA was not accepted Danny4, but Northern Rock do have a fairly well known criteria for acceptance. Did your IP discuss this with you, or were they aware of this at the time your proposals were presented?
I had an IVA approved with them giving a 35% return.
My wife put forward an IVA, giving a 55% - NO WAY!
We ended up both BR, and Northern Rock applied TWO CHARGING ORDERS ON OUR HOME IN MY WIFES BENEFICIAL INTEREST, because they refused the offer on my wife's IVA.
If you have no equity in your house, and you can transfer the interest or buy back for a £1 GO BANKRUPT.
Its far easier, and do it before they get the charging order.
Why did they turn down your wife's offer - was it because the IP you used did not check whether it met with their voting criteria? What was the timescale between your wife's IVA being rejected and your bankruptcies - and why didn't you continue with your IVA in your own right?
