www.iva.co.uk

Hi, I am just at the beginning of IVA,have spoken to an administrator today who is preparing case and she has advised that Northern Rock will push for 72 payments.Has anyone else experienced this?
PS 3rd direct debit to creditor this week not paid today,feels very strange!

It's not unusual for Northern Rock to ask for this. Don't worry about the DD's - you're obviously on the road to debt freedom.

I cannot comment on your question but wanted to let you know that we are all here to support you in your early stages of setting up your IVA.
Even when your IVA is up and running we will continue to answer and be a support network for you to come to to ask your questions !

Not paying your creditors is a very strange feeling - but it won't be long before you will be debt free and you will have no creditors to worry about and your life will be back on track !

I have NR as 35% of total debt. They asked for 72 months. Mine was part of a together package. When I queried it was said that as I had large ltv that equity may not be possible. It raised % back from 18% to 33% though - bet they were happier with that.

It is a regular thing with NR, but it will all depend upon your individual proposal.

Hi
Many of the Together loans were taken over 20 years or more so I think NR feel it is reasonable to ask for an extra year to recoup as much as they can.
Regards

At the end of the day, any creditor has the right to ask for an IVA to be extended beyond the typical period of 60 months. If they are a majority creditor and there vote can cause the IVA to fail, then they will be able to push it through. It is not unusual for Northern Rock to request this and if they are a significant creditor you may well have to accept it. However, this is far better than the situation a few years ago when Northern Rock would simply reject all IVA applications.

In terms of not paying your creditors, try not to worry too much. This is absolutely standard procedure and everyone has to go through it. There may well be a bit of mud slinging from your creditors but when your IVA is in place, this will calm down.

northern rock insisted that our iva run 72 months-we had the together mortgage-the equity clause will be looked at at month 66.
So it is highly likely the iva will be for 84 months for us-not complaining - the unsecured loan had 23 years left to run!!!

If you have more than six years still to run on the respective loan, then it is very usual to expect the 72 month modification from Northern Rock.

my hubby had a loan with NR and they rejected IVA twice this was when they were rejecting all IVA's so he had a DMP for 18 months NR was not happy with this either so they got CCJ on our house. hubby then went for IVA 3rd time and it was accepted.

I would just like to say well done to your administrator for advising you of this at the earliest opportunity. At least when you have the meeting of creditors you will be prepared for the extension rather than having it as a nasty surprise. Also now that you are aware of the sixth year you can make a better judgement as to whether the IVA is worth it at all.

A question for Mel (or any other IP)

If my NR loan has only got about 3 years left to run will they still ask for the extra year do you think?

No idea Sarah - your IP is best placed to advise on that one.

I will I think Jan. Maybe Mel will see this thread and comment. If not, then I'll ask her when my proposal is drawn up [:I]

I'm sure she will pick up on this but not sure if she is away this weekend or not.