our iva ended april of this year. the company says as we have some equity in the property we need to continue with payments. they did an evaluation on line. they say we need to pay a further £22000. We have tried to remortgage but due to iva no joy. we have sid we can't continue with payments as I no longer work so they say we would have to make reduced payments. is this the correct procedure?
Firstly, I would question their valuation if it was done online and insist on having your own done - it might make all the difference.
You won't be able to remortgage obviously But I've not heard about having to make reduced payments due to you not working.
Which company are you with?
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
If there is equity and you cannot raise it the IVA is usually extended by a year. If your surplus has reduced or disappeared then creditor approval may be needed to close the IVA down or accept the lower amount. Your IP should be able to clarify.
As Kallis says, first satisfy yorself regarding the equity position -- if you have the usual clauses and equity is actually below £5k you might not need to extend at all. You will need to carefully read your proposal and look for any reference to the method to calculate equity --- Aperture tend to try their own interpretation, which is not always correct. Also it looks like that have done an online valuation, which is a notoriously inaccurate method in itself.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
