www.iva.co.uk

Hi there. if the mortgage rates go up and I am not in fixed deal (am with cheltenham and gloucester) and Lloyds were one of my creditors.Do they allow to go to interest only if there is no equity in the house? was reading another thread and it said they were refused because no equity? how do we make payments on IVA if amount goes up say £100. Just thought that it would be fine to change to interest only till the five years of IVA were over then revert back to repayment but think this isn't as simple as I first thought?

jackie90

Contact C&G and explain to them your situation.

I couldn`t think of a reason why they wouldn`t try and help you. You only need assistance in the interim and then as you say revert back to repayment method afterwards. It would be interesting to know what reasons they would give for rejecting you, no equity in a property is not a reason. Tony

The fact that you have an IVA which includes Lloyds as a creditor, should not affect your mortgage - but your lender may be reluctant to allow you to revert to interest only if you have little or no equity.

The orginal question regarding mortgage payments has never been properly answered on this forum. My mortgage payments are over £300 lower than they were 18 months ago. If rates were to rise to the previous letters, is my IVA doomed to fail? Are there going to be thousands of variation meetings? Would my already 7 year IVA be extented even further?

Why has your IVA ran for 7 years?

Hi PD,

6 year IVA (thanks to NR) + 12 extra months if I cannot remortgage + X months to cover shortfall in IVA payments in mortgage payments if rates rise?

Ahh I see. Sounds like a never ending cycle.
My mortgage is the standard variable rate just now and I have had to pay the extra I am saving into my trust deed,but my IP has said as soon as rates go up my payemtns will come down to balance things out. I was hoping to get to overpay my mortgage while the rates were low,no such luck though.

Lets hope I can build up an 'overpayment fund' and it is ok to use this. Otherwise, lets hope interest rates remain unchanged.

Fingers crossed when they do go back it its over a period or several years and to a level thats not huge,or lots of people will end up losing their homes.

Our mortgage is only £66000,so interest rate changes dont affect things too much.(as long as its only a few % they go up by)

Mine is a standard variable rate which went down slightly at the beginning of the year (payments only alter once a year). I'm rather hoping the low interest rate lasts for a few years - we could have problems otherwise!

Don't you start talking about problems Jan my friend - you solve those of others!!

I'm hoping it won't come to that and we can manage David. So far we're doing ok.

I am pleased - you are the very last person I would wish to see have problems - no way - not for you - you have been through much and now are doing so much for others.

Thank you David.

Don't thank me - no more than you deserve. Got to go and find the dog now - by the noise he is tormenting Max!