Page 1 of 1
Posted: Tue Feb 24, 2015 7:57 am
by Rita.p
i have just received a statutory demand for payment l have several small debts but will probably add up to 12,000 l work and have a home with two mortgages costing £700 per month. There is equity in the home but have been struggling recently but have now secured a second job. my mortgages will fininsh in 5 years and would really like to be debt free by this time but am unsure how to proceed. not sure if an IVA is appropriate as worried about it having an effect on my mortgage
Posted: Tue Feb 24, 2015 8:02 am
by lifenoteasy
Going forward an IVA would effectively stop you from moving or obtaining another mortgage if you wanted to move (although there are specialists on here who might be able to help).
If there was equity in your house at the end of the 5 years you might be asked to release some of that or pay an extra 12 months at 50% of your agreed payments.
Posted: Tue Feb 24, 2015 8:35 am
by Shining
Hi and welcome. I would take some expert debt advice before entering an IVA. If your mortgage is going to be paid within 5 years and you have equity it may not be the best solution but do talk to the experts they know best.
Posted: Tue Feb 24, 2015 9:23 am
by Adam Davies
Hi
You need to take advice quickly to avoid the possibility of bankruptcy
Speak with several companies/experts and explore all options
Regards
Posted: Tue Feb 24, 2015 9:42 am
by Michael Peoples
Andy is right. If you do not do something you will almost certainly be made bankrupt and lose your home as once the 21 days have elapsed from the date of the stautory demand the creditor can raise a petition. Perhaps you could refinance to clear the debts or sell your home but it sounds to me that you should be careful to avoid bankruptcy so get some advice.
Posted: Tue Feb 24, 2015 11:26 am
by Foggy
I agree, you need to speak with a couple of firms right away to get some solution put into place before BR action commences. We can only give generic advice on an open forum and you need to discuss specific details.
Posted: Tue Feb 24, 2015 5:18 pm
by Mortgagesteve
Hi Rita,
There may be an option to raise some money from the equity to clear the loans and at the same time re-structure your mortgages to make them more affordable?
Entering into an IVA will make it very difficult for you to gain any form of credit in the future.
Please feel free to give me a call / email.
Regards
Steve