www.iva.co.uk

hi
in practical terms can somebody explain to me what my wquity payment would be if i had no equity in my house or if my house was in negative equity

If you have no equity or are in negative equity, then you cannot pay any across.

Correct - and in an IVA you only have to raise finance to 85% loan to value in any case, so you would be allowed to retain 15% of your property's value even if you did have equity, plus if the property is jointly owned, the co-owner's share would remain untouched.

I'm interested in the concept of negative equity as I'm due to find half of my share of the equity in our home in year 5 - next year. With house prices falling there is every prospect of a very low or even negative equity. So it might follow that I might have nothing to pass accross. But logistically, would that decision be made at the very end of the year or could it be made during the year - say at a time that would favour me?. Is it at all posible that the Supervisor could defer the realisation of the equity to a period of time when prices begin to rise again?

Your house will normally be revalued in month 54. If you have no equity then, as I understand it, your IVA will complete at the end of the 5th year.

Am I weird therefore to welcome the recession?

No, I'd feel the same!

Jan - you've encouraged me. The only other possible good thing about the credit crunch and the loss of billions by the Councils to Iceland, is that they may now finally stop filling up our streets with speed bumps.

Bob - you do need to check the terms of your specific arrangement - there are many versions of the equity release provision in circulations, the best advice can be gained from speaking to your own IP.

Thank you Melanie, I will get it all out and have a scout through it. As for asking the IP - I wouldnt even ask hin the time of day. From Day 1 he has been surly, difficult, never explained anything, dismissive, disinterested, overbearing, demeaning and just generally horrible. The thing that has helped me the most in the past few years has been the support and advice from this forum and from the professionals on here - notably your good self. I've said it before, I went into the IVA with both eyes shut tight knowing absolutely nothing about what was involved - never receiving one word of advice and no clear explanation. Had I known of the existence of this forum before I got involved I am quiet sure the whole ordeal would have been a much more pleasant ordeal.
Thank you for all the great work you and the others on here do.

What a horrible experience for you Bob. What mad you choose him and his firm in the first place as a matter of interest?

If you wanted to scan the relevant pages of your proposal over to me, I would be very happy to take a look for you.