Some questions about the equity clause in my agreement

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mouldymuffin99

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Post by mouldymuffin99 » Mon Oct 08, 2012 5:45 pm
Melanie / all,

I have emailed DFD with this exact same query and the response (interpretation) I have received is completely different!! I will copy / paste the response I have received:

Dear Richard


I refer to your email below and note your comments, please find listed below my response.

I can confirm modifications supersede the terms of your original proposal.

You would require your ex-partners permission to release equity from the jointly owned property 50% of the equity would be used as your entitlement.

If your property has less than £5,000 equity based on 100% LTV then it would be excluded from your Arrangement, this would be the overall equity position not your percentage.

Should you be unable to remortgage and have more than £5,000 equity a 12 month extension of your Arrangement will be required.

If you require any further information please do not hesitate to contact me.

Regards



This seems to be completely at odds with the opinion on here. Can you advise??

Please help!! :(
Last edited by mouldymuffin99 on Wed Oct 10, 2012 8:18 pm, edited 1 time in total.
 
 

MelanieGiles

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Post by MelanieGiles » Mon Oct 08, 2012 10:18 pm
I am not sure what point of the response you do not agree with? Could you clarify what you are concerned about relating to your own case please.
Regards, Melanie Giles, Insolvency Practitioner
 
 

mouldymuffin99

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Post by mouldymuffin99 » Tue Oct 09, 2012 5:23 pm
Melanie. Apologies. I refer you to your response on Sept 25th at 22:16:00. You say that the 85% LTV consideration is taken into account. DFD say that the available equity needs to be under £5000 of 100% LTV (not 85% LTV) for the property to be excluded from the arrangement and the term not extended.

I have received this response from DFD today:

Dear Richard



I refer to your email below.



The modification is split into 2 different clauses.



1) The property must be remortgaged to 85% LTV, currently lender’s will not consider this and the maximum we are able to achieve is 75% LTV so you will be unable to comply with this modification, should you be able to raise equity this would be offered in full and final settlement of your Arrangement.

2) The section referring to the equitable interest being less than £5,000 does not mention the 85% LTV and includes the wording (gross), therefore this relates to the whole of the equity.



This modification is a common term and this is how creditors have requested we apply it.



Should you have any further queries please do not hesitate to contact me.



Regards



Whichever way you look at this they've got me over a barrel :(
Last edited by mouldymuffin99 on Wed Oct 10, 2012 8:19 pm, edited 1 time in total.
 
 

MelanieGiles

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Post by MelanieGiles » Wed Oct 10, 2012 2:30 am
I think I have answered this on your earlier post
Regards, Melanie Giles, Insolvency Practitioner
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