Hi I have made the final payment into my IVA back in June!! I had to have an extension put in place, which was in order to settle the equity release, which I agreed as a secured loan, for admin and for PPI reclaim. The equity has now been released and paid, and on talking to my IVA company the only issue outstanding is PPI of which there are 2 outstanding.
The question is now about my ability to sell my house. I am looking to relocate both for family and work reasons and have been holding on until completion, which has now obviously been delayed. So, would I now be able to sell my house and not put in the realised equity into the IVA on the basis that I have made all payments and equity has been released, or does the fact that I am still within the IVA mean that creditors would still expect the equity to be paid to the full amount of the original loans?
Basically I would like to relocate into rented, as I know that I need to improve credit rating for another mortgage deal, but want to keep hold of equity for a future deposit.
You should be able to go ahead, but I would only do so if you get a statement, in writing, to the effect that, as equity has been addressed and resolved, the property is now excluded from the arrangement. You will also need to get your IP to lift any restriction they might have placed on the Title.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
If the IVA has not officially completed there will still be a restriction against the property. You will need to get the IP to remove this before the sale completes and what you are suggesting is fine provided your IP is aware. It may be better to push them to close the IVA.
Good advice from other posters. If you arranged to settle the IVA with a secured loan it would be normal for your IP to have provided a reference which should have confirmed that the offer was being made in full and final settlement and undertaking to remove the charge on your property. You may find that it has already been removed.
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Thanks Everyone, sounds like I need to speak to my IP, not actually spoken to her before as always been dealing with others in the office.
There definitely was a restriction against the property and I have not been informed that it has been removed.
I would love to push to have the IVA closed as you have suggested Michael, but I made the assumption that the 6 month extension will run to the end unless PPI claims come back in (I have signed over to say any future PPI claims will be put into the IVA so I guess it shouldn't be a problem).
Getting it in writing sounds like a good plan, I will speak to them tomorrow. They have always seemed to deal with me reasonably so fingers crossed.
Ppi should not be a reason for delaying your cc - a deed of assignment would resolve that.
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
By assigning any rights to PPI to the IVA company you remove any barriers and there is one recent example on this board of company writing to people asking them to do that.
If all equity has been released then they should be able to close.
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
Have just spoken to the IVA company, they have confirmed that they have acted to lift the restriction on the property and will forward notification from their solicitors that this has been achieved. They also confirmed that despite the extension I have fulfilled all of my obligations under the IVA and if I were to sell the property any extra equity which was realised would be mine to keep. They are sending a letter to me to that effect. So all good on that front.
I did ask the question about closure of the IVA on the basis that only PPI was outstanding and they said that the IP wouldn't usually make the decision to do that, but they are going to put it to her and come back to me, didn't sound like this was going to happen...
It's a simple statement that says "we agree that any proceeds of any PPI claims which are currently an asset of our IVA will survive the issue of a certificate of discharge from our IVA which commenced on ... and shall be paid to the supervisor of the IVA, so that the same may be distributed to creditors of the IVA."
IVA started March 2011, Completed March 2016 and certificate issued 11 days after final payment. It was not always easy but then some of the best decisions aren't.
