Posted: Mon Feb 05, 2007 10:02 pm
Do you often have to release the equity in your home or does it depend on how much you have?
Hi dld
It very much depends on how much equity you have, but it is quite usual for creditors to require an equity release during the final year of the arrangement.
My profession are currently lobbying the British Bankers Association, to take account of equity levels at the beginning of an IVA and not the end - ie if you have £2,000 equity at the start which increases to £20,000 in five years time, then it is the lower figure which has to be raised in the final year, but this is subject to ongoing discussions at present.
Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
View my IVA blog at: http://melaniegiles.blogs.iva.co.uk