I’m currently in the process of attempting to remortgage to raise equity as required by the terms of my IVA. As I can see from many other posts, the likelihood of doing this is zero. I’m sure the creditors know this so, in the current climate, why don’t they accept that it won’t happen and avoiding wasting everyone’s time? My IVA company PayPlan, has a subsidiary called Who’s Lending who specialise in remortgages. However, when I enquired of PayPlan who I should contact about a remortgage, they never mentioned them and just said I can contact who I want, even though Who’s Lending were mentioned at the start of my IVA in June 2007 as a possible provider of a remortgage. I can only assume that they don’t want me to waste their time!
Seems like a sensible question. A valuation may be enough to gauge whether you are in negative equity or not; then you can offer the extra payments if needed.
Hi
Sounds like they know it's a lost cause. I guess you will still need to go through the motions though and try to obtain two remortgage quotes
Regards
I guess it's a requirement to go through the motions, I'm expecting an extra 12 months in lieu of equity but having said that not sure what equity I've got in the property at the moment. x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
Isnt that a conflict of interest for payplan to have a sister company who may provide expensive sub prime mortgages for those requiring to remortgage during an IVA?? Talk about making money after money!!
Paul
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
Payplan have fingers in a lot of pies, insurance and the like. To be fair to them they only ever suggested car insurance one year, the quote was ok but the benefits not as good. Nothing was said when we turned it down.
When it comes to remortgaging we just have to approach a couple o high street dealers.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
I've had my first rejection letter from my current mortgage provider. They rang me first and where very sympathetic as I have an unblemished payment record, but their policy is not to give remortgages to people in an IVA. Just two more to go then I'll send them off to PayPlan. If the creditors agree to 12 extra payments I will be happy as that amount is less than the equity I am trying to raise.
Our extra 12 months is already written in to our IVA so I'm resigned to it lasting for six years. I can't see our mortgage company agreeing to remortgage as we won't have that long to go, our ages won't let us extend the term and the extra payments would be much too high.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
I think all of us would prefer to have to extend our iva's by twelve months than have the equity release clause activated, it's obviously much better for us financially.
"When the seagulls follow the trawler, it is because they think sardines will be thrown into the sea".
If they have this associated company they should be doing more to help their own clients. Surely it would take no longer than 5 minutes to send out a letter confirming that a re-mortgage is not an option for you.
I agree, Melanie. Possibly there is a cost involved that they don't want to bear. Do you require your clients who are in this position to get three refusals if they don't get an offer or are you able to convince their creditors that there's is no point?
If you can't get a remortgage as required for the IVA terms then I think you are in luck, instead it's cheaper to go down the 12 month extra year of IVA payment route...a remortage to give the creditor a lump sum will mean you face higher mortgage cost for a while till your house is paid off...interest rate could go up ....but the current indications this morning with the talk of BOE printing even more money, suggest that is as likely as watching a bald man growing hair.
It's the Creditors problem now, this 4th year IVA remortgage clause is now out sync and kilter and the creditors better get use to it...FOR A LONG TIME TO COME
Thanks, Melanie. I've had one rejection letter so far, (from my current mortgage provider), but I'm finding it difficult to get any more in writing. As soon as I mention the IVA, I'm told that there is no point in proceeding with the application, but they are reluctant to put it in writing. Probably due to time and cost from their point of view. I will try some more but if I can’t get any of them to put it in writing, I’ll contact PayPlan for their advice.
