I am now in month 53 of my IVA which is being supervised by creditfix. Creditfix phoned me at work today to inform me I that next month I should try and remortgage to comply with my equity clause. Alternatively they could pass on my details to a company called Perinta Finance to see if a qualify for an early exit loan.
I've looked at their website (Perinta) and the idea seems to make perfect sense.
My question is what's the catch? It seems I would get to leave the IVA early and when the term of the loan is up my credit record will show a successful Iva and a settled loan thus increasing my credit rating quicker than if I had remained in the Iva.
Any additional cash I get from work/windfalls will be my own. It seems too good to be true. Has anyone heard of this company? Are they bonafide? What's in it for creditfix and why would my creditors allow this?
Obviously I would not be able to increase my current payment amount as I am stretched each month as it is.
Any advise would be most welcome. Creditfix will be contacting me on Friday to ask if I would like the referral. Thanks for your time.
Thanks Foggy. That was a really informative article. Being in an IVA has a least taught me to research my options before I jump in feet first. Every cloud eh?
My main concern is the equity clause. I know I will have equity in the house but I don't really relish the thought of borrowing for something that will last longer than my IVA albeit at a reduced cost. But I'm hoping that I will get rejected for a remortgage as we already had a substantial secured loan prior to entering the IVA. Having said that an additional 12 months is going to be really hard as my car is on it's way out and I have no savings to buy even a scrapper. But it's still gonna go if I'm out of the Iva and in a loan so it looks as though I'll take my chances and stick in the IVA.
Shaun Vickery, one of the brokers who posts on forum regularly does have a product he has offered to deal with the equity year -- always worth having a word with him.
His details can be found under the "Quick Links" tab ( top left) and then on "The Team" on the drop down ... he is one of the yellow Industry Experts.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
I agree that it would be worth having a word with Shaun if you are going to try and settle. At least you can compare rates and costs and opt for what is best for you.
So I have been through the reportage equity release stuff with creditfix I was referred to just lending and was offerefd a 3 year loan instead of the extra year in lieu. I refused and had confirmation from creditfix that I am to pay another year. In the last weekI have had emails from Perinta offering me a loan to exit early. anyone have any idea of interest rate etc? I did not want a 3 year loan from JustLending but if its a loan to cover the remaining payments of my last year was curious to know what the difference would be
Ask them for an illustration of the loan and this should show costs, APR etc. You can always then compare this with other firms such as Shaun Vickery's.
Well I emailed Perinita, They replied straight away saying they have liaised with Creditfix and due to my creditors rejecting early exit loans they can't proceed. It seems RBS are rejecting all early exit loans.........
Denise.8 wrote:Well I emailed Perinita, They replied straight away saying they have liaised with Creditfix and due to my creditors rejecting early exit loans they can't proceed. It seems RBS are rejecting all early exit loans.........
I can see their logic -- why should another lender profit from what is, effectively, their loss.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
I was looking to pay the equivalent of the last years payments. The only thing they would lose were any uplifts. I am happy to have to not make the decision to be honest.
So I decided there was no harm in at least speaking to the rep from Perinta. But before I did, I did a little research on the good old internet. My main concerns were around the relationship and supposed lack of one between my IVA company Creditfix and the Early Exit loan company Perinta. The main link being the owner/director Pearse Flynn. Having done some basic research around him (I won't bore you just google him) I had more or less made my mind up that this would not be a my prayers answered kind of relationship.
But with nothing to lose I decided to hear their rep out. I arranged a call back and she was punctual. I was pleasantly surprised that there was no hard sell. In fact she was brutally honest and admitted that in my case at this stage it may not be to my advantage to take them up on their offer. Basically I have sufficient equity to trigger my equity release clause. So I would be looking at doing that or extending my IVA took 6 years. 72 payments instead of 60. But she informed me that Creditfix had already concluded that there would be a 12 month extension as I was unlikely to get a remortgage under the current financial climate.
To be honest Simple Debt Solutions before they were swallowed up and taken over by Creditfix had more or less told me that it would be extremely unlikely that I could release equity in my house as I already had a small remortgage and an additional secured loan.
This is good news as far as I am concerned.
So back to the Perinta Offer. I currently have with the 12 month extension (now confirmed with Creditfix) 19 more payments to make and my IVA will extend to October 2018. If I were to accept the offer of trying for Perinta's Early Exit Loan. I would make the same monthly payment and end my IVA next month. I have to admit the OLD IMPULSIVE ME was twerking at the prospect. But I delved deeper. I would need to continue those payments (with no wriggle room) for 27 months. Not great at maths but to me it's a no brainier I stay with my IVA at least for now.
Also I plumped for an IVA over bankruptcy because deep down I accept that I should have exercised more control over my win financial destiny. So I am culpable and responsible at least in part for my own predicament.
So in my eyes it would seem wrong and somewhat immoral to enter into a further debt to the expense of my creditors in order to shed the shackles of my own wrong doings. (Too dramatic?) But in any case I'll take my chances where I am and pay my dues..... at least whilst it remains so.... much cheaper. Thanks to Foggy and others for the sound advice.
Thank you for that post -- very interesting read. To be fair, despite the history Mr F enjoys (!), Creditfix do appear to run an IVA fairly and efficiently,once you can get hold of them --- communication is a real weak point.
It seems to be a common thing, these days, that IP's are looking at ways to diversify and increase income streams. Just a pity they couldn't be more transparent.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
