www.iva.co.uk

Hi there, I'm a bit of a serial lurker, but just want advice really. Applied to Nram for another 12 months on interest only payment, they have had my request 6 weeks and have now been told that they cannot grant another 12 months on interest only, as my mortgage is the main priority and not the Iva. They advised me to go back to my IVA company (GT) and see what they can do to help reduce the payment. IVA started Sept. 2010.

My mortgage payments will increase by £340.00 per month ( yes !! ) and my IVA payment is only £300.00 per month.My husband is self employed and is going through a quiet spell at moment due to holiday period, its all very worrying as we simply cannot afford this steep rise in the mortgage.

Have told my parents, who gave me merry hell but have offered support ( god how bad do I feel, its all such a mess) I am due for a job change, got interview next week, so hoping the salary will be more than I currently earn, husbands net profit are up from last year but all things considered realistically an extra £340.00 per month is not affordable.

Hoping the iva payment can be reduced but how much can it reduce by for creditors to accept the change.
Our iva review is due in september, new mortgage payment is due 1st August

My parents have offered help with the mortgage and I will enquire about a F & F, but don't want to clean my mum and dad out of their hard earned savings.

Any advice on what next would be great.

Thanks
J

Hi, I would definitely talk with your IP direct and take some case specific advice. What wonderful parents you have and after their initial shock have said they'll help.

I know an IP can reduce payments within an IVA by 15% without having to go back to creditors but any more and they would need to call a variation meeting. If a F&F was offered and accepted you could always pay Mum and Dad back instead of your IVA payment. x

Hi
Good advice from Lesley
Speak with your IP and see what they suggest, given the fact that your disposable income would be wiped out I think a full and final offer would stand a very good chance of success
Regards

another possibility if the mortgage company won't extend the interest only period, would they maybe extend the term of the mortgage, therefor reducing monthly repayments a little.
but as the others have said first point of contact your ip.

Lesley's advice echo's mine - your parents are fantastic and will support you now that they know....consider a F&F offer - could your parents raise a sum of money to offer this ?

Do you also have any unsecured lending with Northern Rock? And is there any equity in your property at all?