would I be able to get an IVA

[lisa.h]

I have £32000 debt with creditors, I have a mortgage of 85000 my home is probably worth £142000, would I be able to get an IVA, and if I paid the money from my home, would it have to be the full £32000 on a loan or remortgage, how would I get a remortgage if I owed to creditors.

Thank you
Lisa

[MelanieGiles]

Hi lisa and welcome to the forum

As you have equity in your property of £57,000, you are not technically insolvent as you could afford to repay all your debts if the property was sold.

By taking out an 85% loan to value remortgage against the property - ideally from your current lender - you could afford to repay your debts in full and benefit from a lower interest rate. There are other lenders who you could also go to - and Welshboy who is a mortgage broker may be able to help you with this.

Good luck in your search, and do see if any of your creditors would be prepared to give you a discount for early settlement.

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

[lisa.h]

Hi melanie
Thank you so much for responding so quickly, would do you think would be a good rate of interest or average on borrowing £32000.

thanks again
Lisa

[MelanieGiles]

I'm not a mortgage expert (where is Welshboy) but would have thought that you could get 6.1% fairly easily so long as your credit rating is not too impaired.

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