www.iva.co.uk

Hi All,

Ive had my house on the market for 2 1/2 years, and just yesterday accepted an offer!

After clearing mortgage, fees, and paying off the equity to a coownership scheme i will be left with approx 22000.

I have 17 payments left out of 72, totalling 5032.


Original debt was approx £51K, repayment thru IVA was approx 21000.

I spoke to my IP this morning (Grant Thornton) and they said the creditors would look to take most of this money towards a full & final, leaving me about £4000 for relocation costs.

Do u think this sounds reasonable?

Andy

Hi Andy, I think GT are probably right in what they are saying as you are expected to repay as much back to your creditors as possible.

One of the experts will be along to advise further.

Only if the property was included in the IVA in the first place. Did you have a final year equity release provision under the terms of your proposal?

Hi
The fact that you had a six year mortgage may mean that the house was excluded
Regards

Hi I have a question on this I have a clause in the 5th year
of releasing equity does this mean if there is equity I would
finish in the 5th year or will I still have to make 72 payments?

Thanks

Hi
You will need to check the wording but usually your IVA will concude at the end of year five, once you have released the equity
Regards

Hi thank you for your reply
My original debt was for £55626 iva plan would pay back £39744
if I had already paid £39744 after releasing equity would they then make me stay for the 6th year in a hope of recovering the origianl amount?

Thanks

Without seeing your proposal and Chairman's Report it is impossible to be 100% but I believe your IVA will be completed after 5 years because you will have released equity and complied with everything expected by it's terms. The extension is only for people who have equity but are unable to release it which is not the case on your part.

Hi, sorry forgot to mention that the sixth year was to replace an equity release in year 5, and also the house was listed under excluded items in the original agreement.

Andy

So in my book they cannot touch your house sale proceeds! Ask them again to clarify the basis of the advice you have been given.

MelanieGiles wrote:

So in my book they cannot touch your house sale proceeds! Ask them again to clarify the basis of the advice you have been given.

I have asked them several times and they always have gone down this line, creditors get equity.

What can I do if they refuse to budge on this situation?

Andy

I think it is time to speak to the IP personally to understand on what basis they claim that your house is now included into the IVA. I know the guys really well, so if you would like me to have a word send me your details via e-mail.

However, I am not sure that I have misunderstood your original post. Are you looking to offer a full and final settlement with the money?

MelanieGiles wrote:

I think it is time to speak to the IP personally to understand on what basis they claim that your house is now included into the IVA. I know the guys really well, so if you would like me to have a word send me your details via e-mail.

However, I am not sure that I have misunderstood your original post. Are you looking to offer a full and final settlement with the money?

Yes, the idea was to offer a full & final settlement with the equity from the house sale. This was suggested as an option in an email I received from GT customer services, signed L Dillon in November when I enquired about a potential sale of the house.