I am a bit confused. Can someone explain to me how after 5 years there can be a shortfall. I thought an IVA went on for 5 years (I understand that some may go on longer because of circumstances) I dont want my IVA coming to me at the end of the 5 years saying there is a shortfall. Sorry if I'm being a bit dim here, but do they not say that you pay a fixed amount each month, and if you do not pay off all your debt at the end, then the rest is written off
As long as you make the full payments, plus any equity release, then your IVA will complete in the 5 years (or 6 if you can't get a remortgage).
Normally there would only be a shortfall if you have missed any payments and need to catch up.
As you say though, it is all down to individual circumstances.
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 you own your own home, then in the 4th year you are normally expected to try and remortgage to release some of the equity in your home to pay towards the IVA.
The amount is set by your creditors. If you can't remortgage, you are normally expected to pay into your IVA for a furher 12 months.
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
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
You usually find though that any shortfall in overtime etc is clocked at the 12 month review and your payments adjusted accordingly.
It could be added on to the end though I suppose.
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
