Please could someone advice me

[hussa]

Hi there,
I have 10 months left for my iva to be completed. I have not yet sent any income & expenditure details since the start of the IVA. I have kept up my payments all the time. I have just under £5000.00 left to pay back. Will my IP ask for any bank statements in the near future and income expenditure details? At the end of my IVA contract I will have paid back more than I owed to the creditors, then why do I need equity in my property to pay them back?
Also, I already have a secured loan on my property which is coming to an end. This was started before the IVA began. Would I be allowed to take out a further secured loan to have work done to my property whilst still on the IVA? Would I need to inform my IP about this? Would he turn around and tell me to pay the extra money into the IVA instead of getting a loan? But I am already paying enough to cover the IVA.

Please could someone advice me on this. Thanks.

[joh71262]

There's a lot of questions in there Hussa. If you haven't sent any I&E's so far, it not only seems a little odd, but would sound as though they wouldn't ask now.

I don't know the terms of your IVA but mine states the at the beginning of the fourth year they can ask you to release equity and as you are either past that, or nearly at the finish line, it would seem doubtful that they would ask you to do this.

If you only have 10 months to go on the IVA and the loan is coming to an end, why don't you wait until you've finished paying that before you apply for another ? As for the IP taking the money you were paying the loan back with, it sounds as though the IVA company either haven't included it in your original expenditure or have ignored it if they did.

Unless they request statements, and you have been paying on time and in full, how are they going to know ?

They sound a very slack company to me.

The only real way you will know 100% is to check with your IP

[hussa]

Hi there,
Thank you Joh71262 for your reply.

[hussa]

I would like to ask something else. Now that I have only 10 months left on my IVA is it better to wait till the end of this term? Or would I be better off to see how much equity I have in my property to settle in full now.
Thanking you again.

[MelanieGiles]

Was your property included in the IVA - ie are you required to raise equity during the final year and pay this over to creditors?

[hussa]

Hi Melanie,
Thanks for replying. Yes I have been asked to look at the equity in my property. I am in the final year of my IVA. I need £12000. minimum. I have spoken to a financial advisor about this and he said as long as I have the equity there should not be a problem. Will I be able to settle this account before the end of the IVA or do I need to wait.

[MelanieGiles]

Depending upon the actual wording of your clause, you should be able to raise the equity money now and then conclude the IVA at an early stage.

[Adam Davies]

Hi
Have you had a yearly review at all ?
Regards

[hussa]

Hi,
No I have never had a yearly review.

[ray_a]

I have 10 months left for my iva to be completed. I have not yet sent any income & expenditure details since the start of the IVA. I have kept up my payments all the time. I have just under £5000.00 left to pay back. Will my IP ask for any bank statements in the near future and income expenditure details? At the end of my IVA contract I will have paid back more than I owed to the creditors, then why do I need equity in my property to pay them back?


My mind comes back to last year on the grounds of statutory interestwith regards to IVA's. We all forget that an IVa is a means for creditors to try and recover as much as they can. You do need to read your IVA proposal document carefully and see whether there is a clause which states that the supervisor if he can poosibly obtain funds to clear the Creditors and pay statutory interest which is based at 8% when from when you entered an IVA. Hence why IVA's can be cleared 100% + more!

Please be careful here and do come back on this point!

[hussa]

I am unable to borrow money from my bank with whom I have my mortgage to clear my IVA because of my credit history. So my IP gave me a contact number for a financial advisor who can help me get the money needed. This means that I have to remortgage with another company. The total fees for all this are going to be in the region of £2500. I would like to know whether it is possible to get a loan from the company who I have a secured loan with at the moment to raise this money to clear the IVA because I would not have to pay any fees?
thanking you.

[Adam Davies]

Hi
You need to take professional advice on this point.The secured loan may have no fees but would probabaly be a higher interest rate.

[MelanieGiles]

It might be worth having a chat with Andrew Graveson who also posts on this forum for free and impartial advice as to your options.

[hussa]

In my proposal for my IVA it states: "within 6 months following the fourth anniversary of my Arrangement I will begin to take steps in order to remortgage my equitable interest in my property for the benefit of my creditors". What I want to know is that by the end of December when my IVA ends I will have paid the creditors in full then why do I need to find the equity in my property to pay them back? When my IP went to court at the beginning of the IVA all the interest was frozen so I didnt have to pay them back. How is it that people get 75% of their credit written off when I have paid all mine and am still having to borrow more money to pay them back still.

Please help.

[Adam Davies]

Hi
The maximum that you can repay is your total original debt plus IP fees and possibly statutory interest.If you have paid less than this by way of monthly payments then you will be reqired to remortgage.
An IVA is an agreement where you pay as much as you can over the term
Regards