Can anyone help.
We took out our iva in march13 with debt free direct iva supervisor was richard savage now with aperture iva abd supervisor elaine masters. paid 64 months was supposed to be 60 when i though id ring and ask wbats goin on. Only to be told aperture are passing us to the select partnership for equity release, ok fine. Went online got some online valuations of 95_104k. Thought ok will get a proper valuation done at a cost of £100.00 written valuation given to me a 102k.
Select partnership been in touch and said there valuation is 127k and they cannot offer me a mortgage only a secured loan or second mortgage of 12500 plus 2k fees over 15 years paying back a total of 42k. A joke really.
In my iva document its says my remortage including equity cannot be over 85%. No mention of saying i must consider a secured loan only a remortage. It also states they will ask me to release equity no later than 6 months prior to end date which should have be month 54 correct¿
The valuation is way out by the local valuation i have had done there is only 3.7k in equity. The property is leashold and only 55 years left on lease so will never get a new mortgage without purchasing the lease aat cost of 10k. Can they force me to take out a secured loan even though it doesnt mention this in the agreement
Have spoke to aperture today and are not helpful at all said maybe i should get in touch with citzens advice and a solicitor. Much prefered it when debtfree direct handled the calls etc as at least they got back to you.
Any ideas or advice.
Total debts was 43k
Paid 28k so far.
If there is nothing in your paperwork you cannot be forced to take out a secured loan. Best thing would be to continue on for a further 12 months in ieu of any equity.
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First, discuss this with Select, who are easier to talk to than Aperture. Challenge that vauation ---- the paid for one will trump an online valuation as it will accurately reflect the lease situation.
If you can win that arguement there will be no need to go further --- other than to get back the overpaid payments.
If the valuation they have sticks then they cannot force a secured loan unless you started the IVA after 2014 and have the post 2014 terms, which it sounds like you don't. I am assuming that you didn't sign any change of conditions letter when Aperture took over. So, the extension will kick in, which you are well into anyway.
Select offer the secured lending options as, in some cases, the person would prefer this to another year in the arrangement, but it is your choice, based on the above assumptions.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
I have email select partnership re the issue with valuation. Due to get the written valuation i have paid for in a day or two. Sele t partnership are calling me back on monday from previous conversations abojt the equity release. So i will post any update. Thanks for the advice in the meantime
Select were extremly helpful last year when we were dealing with equity release.
They took our valuation over their online one.
We didnt have a secured loan in out terms but thats what we have chosen to do
a) to keep our main mortgage on the High street with a good rate rather than move the whole mortgage to a ‘bad credit’ company and lose that High street link
b) we couldnt afford the fees which go along with a mortgage. The Secured loan we were able to add the fees to the loan which lowered the amount creditors essentially got but kept it affordable for us.
Yes it is a loan of about £10-12k over 20+ years but its secured on this house so as soon as we sell we pay it off so its only (hopefully) a year or two. The duration for us was irelevant as we wont be paying it for 20+ years.
Speak to Select. They are a really good bunch. We dealt with Judith during the set up of ours if thats any help.
Hi Jofoste. Just to re-iterate, any physical valuations you have had arranged will certainly be taken into account and I can see that we have already asked you to let us have a copy of this. A second charge mortgage will only be recommended if a) it is in your better interests compared to a re-mortgage or b) if it compliant with the terms of your IVA. I'll be happy to engage with you directly if you think it would help?
Specialist Mortgage Advisers. Highly Commended at the British Mortgage Awards.
Thanks. Spoke to select and they said any valuation would be taken into account. Estate agents just been looking at 101-103 emailing me valuafion letter tonight or in morning. Current oustanding on mortgage 83300.
Due to only 60 years left on lease and condition fo property the guy also said he had sold similar properties in area.
The lease hold situation seems to look like a complete nightmare.
From what i can see from my documents it says. If the valuation shows that 85% of my interest in the property after deducting mortgage and any secured loan is more than 5000 then i will seek remortgage if it is less than 5000 including any arrangement fee then i need contribute no more.
I woukd be so much easier to understand if everone used the same calculation
Wed May 15, 2019 5:49 pmJofoste wrote:
From what i can see from my documents it says. If the valuation shows that 85% of my interest in the property after deducting mortgage and any secured loan is more than 5000 then i will seek remortgage if it is less than 5000 including any arrangement fee then i need contribute no more.
I woukd be so much easier to understand if everone used the same calculation
To be fair the clauses are badly worded in the current documentation. Previously this was negated by the inclusion of an example calculation as an annex to the Standard Terms, which was the first method used above, however, Aperture now place a different, more creditor friendly, interpretation, the second method used above.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
I ha e sent the valuation to the slect group. I guess just wait and see.
If they use 103k- 83300 = 19700 less 15%___16700 in equity.
However if i add the 16700 to 83300 = 100k. Which is well above85% loan to value.
The first one sort of blows the calculation out of proportion. as by that i only retain 3%.
Im stumped. THe other problem is the propert has a 60year lease left so cannot get a remortgage due to time leff on lease. Price to buy lease 10k. Realistic a secured loan would kill me.
Amount of debt 43k amount pajd into iva 26000.
What does cash in hand mean as it says 2.6k cash in hand on iva statement
Cash in hand is the amount from your payments that haven't, so far, been distributed. This will be dealt with as part of the final completion administration, or at the next distribution date.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Mon May 13, 2019 12:41 pmShaun Vickery wrote:
Hi Jofoste. Just to re-iterate, any physical valuations you have had arranged will certainly be taken into account and I can see that we have already asked you to let us have a copy of this. A second charge mortgage will only be recommended if a) it is in your better interests compared to a re-mortgage or b) if it compliant with the terms of your IVA. I'll be happy to engage with you directly if you think it would help?
Hi shaun its causinh a real nightmare a the. Moment valuation sent at 103k.
A secured loan is a no go as realistic i cannot repay earlier as would not be able to rrmortgage due to the lease and wouldnt be able to pay the lease due to loan. A lose lose situation. I have had a look at the protocol and its 2012 protocol in my pack had no updated terms, orginally taken with dfd.
Under appendix e its says 6months prior to end i will look to releass my net worth in the property. And valuation should show that 85% of property is less than 5k then this will happen. If nore than 5k this will happen.
The wording says net worth which is 103k and 85% of the property is 87750.?
I think the priority at this stage is to let us have a copy of the valuation you have had done. Presumably this takes into account the remaining lease on the property. Any solution will have to be affordable based on an income and expenditure assessment but is likely to be considerably less than your current IVA contribution which would cease of course. I can see that you are speaking to a member of my team so I would suggest continuing down that path and let's see what resolutions we can come up with for you.
Specialist Mortgage Advisers. Highly Commended at the British Mortgage Awards.
