We are in year 6 of our iva after it was extended a further year as we had our repayments reduced . It is meant to be finished June this year. We've had remortgage quotes as requested and cannot get one to release any equity, sent the letters off which our company are happy with, however they now say their extending the iva for another year and there's nothing we can do about it just to except it. Is this right?
It is the normal process when equity cannot be released.
As you have had to extend your original iva term when payments were reduced this will have ensured your 'minimum' return before equity release had been met. The equity still needs to be addressed and this is the 7th year in your situation.
I know it is not what you wanted to hear but at the end of the iva you will have met all of your obligations as set out in your IVA chairmans report
Sharing from experiences of dealing with debt
There is a solution for everyone .... Just need to stay positive !
As Luluj correctly says, yes, they can extend further -- the earlier extension being made to enable you to make the reduced payments and this one being in line with the agreed terms to address equity. The only thing you can do is to make sure that the equity clause has, indeed, been triggered. Do you agree with the valuation ? (Did they provide it or did you ? ) and is the equity over £5,000 ( your share if the property is jointly owned) ?
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
As Foggy say, the key is the valuaiton. If you can show you have less than £5k equitable interest then the extension should not apply, subject to your terms.
