www.iva.co.uk

I have an IVA, my wife doesn't, I have a joint mortgage but the Mortgage is not part of the IVA, I was told at the beginning that after the 5th year I may need to release equity from the house or have an extra review, I was also told that if my wife does not agree to this release than an automatic extension will start. is this the case?

(I wish I had found this Forum 2 years ago)

many thanks

Hi Tim,

Do you have that in writing from your IVA company?

Also, who is your IVA company? There may be people with the same company who can advise.

Check your terms and conditions carefully, it may have the very fact your looking for in there.

It is normal to get any joint owners to sign consent for equity release when the IVA was first drafted. If this was not done then an extension would be likely but this can depend on which creditors are listed. They could demand a sale or even fail the IVA.

sorry for late reply, it was with Payplan, I asked them on the phone twice and both times I was assured that if my wife doesn't agree then there is no equity release. stupidly I didn't get this in writing. My wife has not signed anything about equity release either.

Hopefully you can get an extension agreed with creditors and Payplan have this written into the proposal. However if they have to call another meeting of creditors and there is substantial equity some creditors may object. HMRC for example do not like extensions and want the equity released.

thank you Michael, HMRC fortunately are not one of my creditors,

TIM24752 we were in the same position last year.

My wife and I knew that we might have to remortgage at the end but as that clearly was not going to happen my iva company looked for a secured loan.

In the end as we have a joint mortgage my wife refused to sign up for a secured loan.

It was however a very tense time waiting for the conclusion of the variation meeting, which in the end had a positive outcome for us which was a 12 month extension