i am currently in an iva which completes in feb 2015.
I want to sell my house as i have to redeem my mortgage. I now have a lot of equity in my house due to rises in london house prices.My original debt was £20,000. How much would i have to pay back including interest to clear in full my debt? Can I have the restriction on my house removed immediately in order to sell?
If you are looking to repay your debt in full, you will pay over the full amount of the original debt, plus fees (usually in the region of 15% of the debt plus about £2000). Statutory interest is sometimes added -- have a look at your paperwork to see it it was excluded. Even if the proposal states statutory interest is payable many IP's have successfully had this removed. Statutory interest is calculated at 8% simple on the reducing balance.
All of the above will, of course, be less any amounts you have already paid over.
Your IP should liase with your solicitor regarding the restriction.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
