www.iva.co.uk

Hi everyone,

New on here, but have been looking in for sometime now.

We have a Picture secured loan, who have transfered this over to a company called Idem Servicing. Although not in an IVA, we are considering our options.

One of them is asking Idem if we can reduce our current monthly payment from £715 to £500 per month for the forseeable.
Our property is worth around £220k, we owe £218k to our mortgage company, and approximately £89k to Picture / Idem. So if we were to go BR Picture/Idem would get nothing.

Now my question is would they look at repossessing if we stopped our payment, and paid the £500, or do you think our proposition would suit given the alternative of BR?

I appreciate the anserws are theoretical, but would like to draw on the experience of forum users who may even have encoutered this company.

Great forum by the way.

Hello and welcome.

It may well be worth asking them to accept reduced payments, which they might accept in the light of the alternative.

If you reduce to £500 with their agreement they are unlikley to commence proceedings, however, if you just go ahead and reduce the payments they will eventually have to take some form of action, although not immediately.

Might I suggest you pop over to www.iva.com and have a quick word with a couple of the firms represented there. The advice is free and without obligation and will provide you with a clearer picture of the ramifications.

Thanks Foggy.

I will of course look at gaining approval from Idem Servicing. I have been informed that these Asset management companies get a % from any default, and it is common practice to engineer defaults by way of interest rate rises etc.

They claim a % back from Picture Finance, and the original loan provider would recoup the loss through indemnity insurance, so the only person getting shafted is the borrower.

My understanding is picture financial are no longer trading.

Due to the equity situation, or lack off it, I think you should speak to s couple of professionals to see if bankruptcy isthe solution for you or whether an IVA is possible.

I agree with Lulu I'd speak asap to 1 or 2 professionals and then decide what to do next. You want what's best for you so even though it's a worrying time plan what you do and good luck. best wishes and hugs
Oscar
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OK many thanks everyone.