www.iva.co.uk

Many thanks for your comments.
Could anyone tell me what is ment when in the proposal it states that in the forth yr ,it says that i will get the house valued and if there is equity in it ,it say that the supervisor can put a restriction on the property.I ask my super what it meant and he said that just means that if i sell they will be notified ,but am unclear on this how long can the restriction last ?as it doesnt say in my proposal. and also does it give then any other rights to the property?

Hey t9r, I presume it will last until your IVA is completed but hang on for Melanie to advise you. X

What normally happens is that they will put a restriciton on your property so that you cannot sell it without their permission.

The fourth year clause usually states that you will have your house revalued. As a result of that, you may have to try and remortgage and pay some of the equity across to your IVA. If the equity is below £5,000 the property will be excluded and your IVA will carry on until the finish.

If you are not able to remortgage, then the majority of creditors are now insisting that the IVA will continue for another year.

Once your IVA is finished, your house will be free of any restrictions.

Surely your Supervisor explained the implications of this very important clause in your IVA agreement? Are you happy that you understand that you will need to have your property revalued during the final year, and potentially raise equity by way of a re-mortgage or third party funding?

The restriction on the property will last until you have complied with these provisions.