Mon Jul 19, 2021 12:51 pmFoggy wrote:
Is that a typo ? 126 months ?
They can be extended, but for legitimate, and explainable reasons. The most often is by 12 months if equity cannot be released (for homeowners).
This unfortunately is not a typo,
I emailed them to ask the reason and got this reply, (Tried to release equity but mortgage company denied application)
Thank you for your email.
Your original term of IVA was 60 months and this has already finished in October 2020. As we were unable to collect all the necessary payments and deal with the outstanding obligation during original term- it has been extended to 129 months.
This means that we have until April 2025 to finish your IVA. Should your payments concluded before this term your IVA will finish then.
As you correctly noticed should you continue to pay for the full extension term you would have over paid. Maximum amount you can pay during term of your IVA is 100 pence in a pound. This means that for every pound you have borrowed you will return pound to creditors. This also includes fees and disbursements to IVA. Should you reach this amount before the end of the extension you will not need to contribute anymore. We can ask for exact figure to be calculated to let you know how much you still need to pay to complete your IVA.
Please do let us know if you would like this to be done ?
How can they set a term of 126 months and not be sure how much is outstanding, I have so far paid off 75% of the original amount of the debt and if this continues for the they have set I will pay off an extra £6500.
How can this be right?