www.iva.co.uk

just got a mortgage will i lose my house with an IVA
craig.

Hi Craig,


Underer the terms of an IVA your house is secured and you will be allowed to keep it, however you will usually be asked to raise some of the equity in the 4th year either by a valuation done when you enter the IVA as it was in my case or sometimes a valuation done in the 4th year and money raised usually by remortgage.

one of the experts will be able to give you more accurate advice shortly

(I apologise for my keyboards poor spelling and grammar)
http://coco.blogs.iva.co.uk

Excellent answer from Coco,as long as you keep your mortgage payments up your house is secure under an IVA and as stated you will normally have to surrender some equity in the final year of your IVA.
Regards

Andy Davie
IVA.co.uk Spokesperson and site manager
(aka Neverending)

Please check out my blog: http://andydavie.blogs.iva.co.uk

View my profile here:
http://www.iva.co.uk/andy_davie_profile.asp

This assumes that the house is of modest value and you don't have exceptionally high mortgage repayments. Creditors do not like to see mortgage payments of more than 40% of your total household income, and are likely to reject if this is the case.

I have seen some creditors ask for properties to be sold - but of course you can also say no and revert to other means of repayment if this is not acceptable.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

Hi craig
what melanie is saying happened to me,one of the auditors kpmg who voted for some of my creditors made that one of the modifications,but what i didnt know then was if i had put my mortgage on interest only maybe it would have been a different response,as it would have given me an extra £250 disposable income to put forward to my creditors.
Thanks to Melanie i am now sorting this out and will be hopefully resubmitting a more realistic proposal for my iva.
You really need to make sure that you choose an ip that you trust and to be honest Craig you wouldnt go far wrong if you check out this site for the help if you are going down the iva route or any other,goodluck with what ever you decide to do

Craig

I would add here that clearly an IVA is a very serious matter. As such, if you are a homeowner and enter into an IVA you have a lot to loose if it goes wrong. If you do not maintain your agreed IVA payments and the IVA fails, then your IP must act in the best interest of your creditors. This means that they will be obliged to force you into bankruptcy to release the equity from your house.

My point is only enter into an IVA if you are sure you can reasonably pay the monthy payments.

James Falla

Expert in IVA, Bankruptcy and informal Debt Management solutions for over 10 years.

For more information visit www.jamesfalla.com and visit my blog at: http://jamesfalla.blogs.iva.co.uk