When I entered into my IVA, my mortgage was on a fixed term deal. That deal is due to end and, under normal circumstances, would revert to the current market rate.
Will the fact that I am in an IVA affect what rate is offered to me?
We were also on a fixed rate when we entered into our IVA, when it came to the time of that ending we actually got a better deal, another fixed rate term and our mortgage payment actually went down.
We certainly wasn't penalized for being in an IVA, hopefully you will not be either.
It does depend who you are with as some firms have been known to take advantage of the IVA and not offer any new products to their clients. They know they cannot move to another lender so keep them on the standard variable rate which is nicely profitable for the bank.
My mortgage is with Halifax and although aware if the IVA, they offered the same fixed rate deals as advertised on their website for current customers at the time.
As above, it very much depends who you are with.
You can but ask for a new fixed rate if that suits you. Good luck.
My fixed rate mortgage deal came to end with Santander shortly after my IVA started and there were no deals available for me when I phoned to see if I could get another fixed rate (although there were before the IVA of course) anyway out of interest earlier this year I browsed their website to look at their mortgage deals and after logging into my account to see what rates were available specific to my mortgage account I applied for a fixed rate for 3 years and got it at a lower rate! Not sure why they changed their mind but they did in the end!
It could be to do with treating customers fairly. It is patently wrong to penalise a customer because they entered an IVA which did not affect the lender. If your history is good with them you should get the same deals as anyone else.
No harm in trying to get a new deal but I doubt if they will give you any extra money. Hopefully Select can get you the funds to get out of the IVA and your lender can save you a few quid from what you are currently paying.
Well, that was an interesting conversation..... And perhpas one i could have had earlier in my IVA! They were not so concerned about the IVA, more the LTV and when I would be able to switch to full repayment. How refreshing! Not saying anything is a done deal on this but, its not as bad as i thought it would be. I was expecting a straight NO!.
The one thing that I did dispute was the house value. They use an indexed linked average that has my house down as losing 2k over the last 5 years........ Might keep this in my pocket for the equity release part with Select....
Sounds good Simon except for the falling house price. Maybe when the IVA is over you could convert some or all to repayment and in return ask the lender to do their bit and give you the best deal going.
