Hi All,
Just decided to have a read through my proposal and modifications and am now extremely worried!!!
I am currently 3.5 years into an interlocking IVA with my wife over a 6 year period (NR are one of the creditors).
I just decided to have a read of the documentation again as I was probably a bit naive when we signed them and were just glad to get something sorted.
One of the modifications was from NR which states that if 58p in the £ is not paid by the end of the period, then bankruptcy proceedings are to be initiated. This includes equity release of £19.5k
If there is no remortgage then the period can be extended to 7 years in lieu of equity.
My concern is that it will probably be impossible to remortgage and introduce this amount into the IVA fund, but it will also be impossible for 12 months payments to be made which would total £19.5k.
So, have I been paying into my IVA for the last 3 years , with no hope of ever being able to reach this figure?
I wanted to pay back as much as I could, and with 2 children of school age, need to protect my home.
Think I'm going to cry now ;(
Anyone out there with experience of minimum dividends?
Please do not panic - Im sure your IP will not of lead you into a agreeement that was going to fail at the end.
Its is true that with the current situation in lending & having your credit rating shot to pieces because of the IVA, that remortgaging will be extremely difficuilt. We are finding posters having thier IVAs extended due to not being able to release equity more & more common.
You have been in your IVA for over 3 years & in that time alot has changed in the lending industry. It may of been thought 3 years ago you would of been able to remortgage when it came to it.
Im postive a quick chat with your IP will help put your mind at rest as it is not in their interest to fail your IVA now or at the end.
Please dont panic & hang on for a expert to comment too.
Which company are you with? We may have a representive on the forum whom can help.
Final IVA payment made in April 2013, never ever thought we could do it or get through it but we did! X
An IVA.co.uk Mentor is someone sharing from their experiences of dealing with debt
I read it as if a remortgage isn't possible then a further 12 months payment in lieu of equity will be realised. Try not to worry and do ring your IP for their clarification and they will explain it all for you x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
Mel is my IP. It's just the line about if we don't reach 58p in the £ which scares me.
I'm embarrassed to admit, this is probably the first time I have really read through the paperwork as at the time, it was more like just being relieved to find a solution to the debt problems We had.
Mel is brilliant at explaining things, either give her or one of her staff a ring and I'm sure they'll reassure you, they're always accomodating. Let us know won't you x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
Hi
I am sure that NR will not bankrupt you, they would get little back in doing that and also the whole point of entering into an IVA is to sage guard your house.
Let us know how you get on
Regards
Hi. As you've probably been told, the IVA world is a lot different now to what it was a few years ago. The creditors realise this, which is why new proposals have different wording.
Many older proposals are being varied these days by enlightened IP's ( of which Mel is one), to bring them into line with the current economic climate.
When these older proposals were prepared, the specific sums were embedded to actually protect the debtor. The property market was racing ahead and IP's sought to attempt to limit the liability to the debtor. Unfortunately the bubble burst .. and here we are.
All that said the important line is ... you are in excellent hands with Mel and her team and I am sure it will all be sorted.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
