Situation at present is that we are in an IVA, it will finish in June 2012. This includes an extension period of three months and at present we are paying an extra £50 per month in arrears to cover a missed payment. That being said, over xmas we decided to take a mortgage payment break which nr said we were entitled to. WIth this in mind, we treat both us and the little ones. Then when I ring to book the break they tell me they have to have IVA company's approval, in hindsight I can totally understand that but genuinally never even thought. Now I am in the situation where I have had to miss my mortgage payment for december which was due yesterday. They have told me that it is currently just under one month in arrears and that they can register adverse credit against me. They told me that this will be registered on credit file as not paying full amount, this has probably already happened but now Im worried that they can keep doing this every month that Im in arrears? Just when I thought we were getting past all of this I feel like crying. How stupid am I? Should have known I couldnt do this, just wanted to treat the little ones. Normally would save up contingency but that has been going toward paying the arrears every month. Just how bad will this lesser payment be on my file and how long will it sit there? I dont plan on taking out a great deal of credit in the future but dont want to think that when the iva is gone that we never can again cos of this one mistake. Please, any advice greatly appreciated. x
Hi sonj77, I would talk with your IP early next week to discuss a way forward, do you have to pay towards the arrears or can an extra payment be tagged on the end as this way you could maybe accumulate a bit of a contingency. Your credit file is shot anyway until 6 years after acceptance date of the IVA so I wouldn't worry too much about that but I would definitely talk with your IP and hopefully the missed mortgage payment can be sorted. x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
Hi Lesley and thanks for replying to me x If I ring IP, only ever speak to customer services thought, do I tell them the truth that I spent my money on xmas as I thought I had a payment break with mortgage? They might think Im a complete idiot! I owe nr a fortune, why on earth would I get a break!!??
You can contact your IP directly from this link sonj77 http://www.insolvency.gov.uk/fip/ (unfortunately, not working at the moment) and it would be best to tell the truth in my opinion. x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
Hi
Speak to your IVA company and ask for them to give your mortgage co the permission for you to miss a payment.
If they won't and/or the mortgage co won't agree a mortgage break anymore look to see if you can move your mortgage payments to a few days earler if your wages are in your account before tghe usual payment is due.This will effectively mean that you are no longer in arrears.
The worse case scenario is that the late payment will sit on your file for three years[ I think ], so about a year after your IVA finshes. As a record of your IVA will be on your file for one year after it finishes you are not really going to be any worse off
Regards
thanx andy. can they keep putting it on file every month I remain in arrears? Or is it just the one recording. Cant ask for payment break now as i would have to make nine consecutive payments again and cant move payment as i already pay on last day of the month with debit card because of the way the dates have worked out.
Our iva will have been on record for 6 years in September 2012 and due to extention we wont stop paying until June 2012, so 3 years from today will mean this is on my file until December 2014. Great eh? Wont make this mistake again. Will this one thing stop me from getting credit in the future, can I repair this?
Hi
They will just record it as one late or missed payment and this payment history will usually stay on your file for three years, so Dec 2013 not 2014 ?
When did your IVA actually start ?
Regards
My iva started in september 2006. We pay our last payment in June 2012 due to extention and they had put extra 6 mths on in leiu of equity. Im just worried that just when I thought we would have a clean slate, now when iva drops off we will still have this "mucky mark" on file!
nr wont charge you for one months arrears and i think you default at two months missed payments as we missed a payment 6 months ago and it didnt show on our credit file.This was because we told them that we couldnt afford that months mortgage and we now overpay a little each month-whatever we can afford.Have a word with nr about this and see if you could come to an arrangement with them-they are generally quite obliging if you speak to them.
Last edited by andrea1968 on Sat Jan 01, 2011 11:13 pm, edited 1 time in total.
full and final accepted January 2015
iva agreed; August 2010
iva would have completed; August 2017
extra year thank's to NRAM
This is not an issue for the IP to have to involve themselves with.
I am aware that Northern Rock seek IP permission for this - and I would generally allow this if the break was for a good reason - not buying Christmas presents I am afraid. The fact that you have now missed a payment to the mortgage company means that you have to bear the consequences of that - it is not really something for the IP to get involved in to be frank.
I appreciate this Melanie and this far in to my iva had a moment of weakness as far as my children were concerned. The only reason was because nr didnt advise of correct procedure when they initially advised me I had a payment break due or I certainly would not have made this error. Appreciate everyone taking the time to reply, still feelin pretty stupid over this and know that I only have myself to blame, have no intention of asking ip to sort it out.
No need to feel stupid - we all make the odd mistake, and some of us have been guilty of absolute clangers!!! Northern Rock are unlikely to make much issue out of this - if you are now a month in arrears, offer them a small increased sum each month and let them know that the remainder will be cleared just as soon as the IVA has concluded. With only one month's worth of arrears, there is little that Northern Rock could do to you legally, even if they were really cross which I am sure they will not be.
Thanx for ur kind words melanie. What they said was as I pay on the last working day, in the month of January it will show just under two months in arrears until I pay at the end. I said but surely this will not be so as long as I pay before the end of the month, the lady confused me a little if Im honest. I will take ur advice and offer to pay a little extra and anything left over will pay at end of iva. I just hope my credit rating isnt marked even after my iva is gone to such an extent that Im no better off. Thanx again for advice, truly appreciate it x
