Hi all . I am in an iva and am on payment 46 of 60. the interest only mortgage deal with nram i am on won't be renewed this month and as such I have a shortfall of 400 that I won't be able to pay towards my iva. Really worried this is going to end in bankruptsy after all. Any help or advise appreciated as I don't want iva to fail.
Agree with Niobe, also speak to NRAM again, I understand they only renew Interest only mortgages on a yearly basis, if you explain to them again the risk of bankruptcy with you being in an IVA they may possibly agree to extend it for a further year, they have done with others in a similar position
Hi Ste1
My daughter is in a similar position with nram and they won't renew even though she has been through her local council. She is now in danger on having her home repossessed as her mortgage has gone up from £540 per month to £1250 per month. Shocking!!! She has considered an IVA but even with this she wont have enough money for the mortgage. I feel her only option is bankruptcy but as you have come so far in your IVA I wonder if your Company may consider you for a F&F based on what you have already paid in... Worth a chat to them. Good luck x
Take what life throws at you and hold your head up high. You're only human after all!!!
This is increasingly becoming a problem for people with interest only mortgages, where banks are looking to get their customers back to repayment terms. Try and negotiate a further period of time with NR, but if they don't agree then ask your IP to see if creditors will accept what has been paid to date in full and final settlement
This has concerned me greatly. I am on an interest only morgtage and have been for almost 7 years on a 7 year fixed rate mortgage.
This fixed rate ends in january 2013.
What do you think will happen to me?
An IVA is a long hard road but valuable lessons have been learnt along the way. Now looking forward to enjoying a debt free future!
We are with Nram and they are also one of our creditors.
We started on an interest only mortgage 5 years ago and were told that as we were in an IVA, that they would keep us on the interest only until we complete it.
I was told that sometimes they do try and get you to go repayment, but if you explain the IVA, they should listen and help you out - especially as you have not got long to go !
Started IVA 27th Feb 2012 - Due to complete 27th Jan 2018 !!
Full & Final submitted and accepted 30th March 2015, paid 10th April 2015 - 3 yrs 1 month into IVA
Completion Certificate received- 30th April 2015!!
My mortgage was together mortgage which had an unsecured element. The unsecured bit was part of my iva. Nram forced me onto interest only to make the dividend on the iva higher. They also charged me £75 for the privelige.
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by Ste1
Hi all . I am in an iva and am on payment 46 of 60. the interest only mortgage deal with nram i am on won't be renewed this month and as such I have a shortfall of 400 that I won't be able to pay towards my iva. Really worried this is going to end in bankruptsy after all. Any help or advise appreciated as I don't want iva to fail.
Hi all , Just a quick update . Grant thornton have arranged a variation meeting with a new proposal based on reduced payments incorporating the difference between interest only and repayment mortgage . This will reduce the overall divided from 39p in the £ to 30p in the £ with 25 payements yet to make . Since this i have had PPi reclaim letters and been informed that 75% of creditors need to approve the variation . I have a couple of questions still if anyone can be kind enough to offer advice . 1. Does the PPI come off the debt agreed or the part that isnt paid off by the IVA? . 2 Can the PPI be used as full and final settlement if it is more than the amount outstanding . I estimate £15000 PPI and owe through revised proposal £8000? 3 Can the Iva be closed with payments made to date as a proposal if I agree to return ppi papers . A long shot i know but the i wonder what the rick of holding out for a relatively low repayment is for the creditors rathen than accepting whats paid to date . . 4 If i dont return the PPi recliam papers before the variation meeting and the proposal is rejected and as such the Iva fails, will i be able to then reclaim and keep the PPi myself. Any help appreciated .
Yes, Niobe is quite correct. But also, the creditors just want as much money back as possible. Whether it be by PPI claims or the regular IVA payment notwithstanding a revision/variation. It is not in their best interests to initiate bankruptcy proceedings also, given the rather chunky PPI amounts that are now going back to them. I should think running this by Mel or Michael, for clarification, is advisable. Good luck for meeting as well
Completed IVA - August 2012 pheeeeeeeeeew
Only my opinion - Nothing More Nothing Less
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by MelanieGiles
This is increasingly becoming a problem for people with interest only mortgages, where banks are looking to get their customers back to repayment terms. Try and negotiate a further period of time with NR, but if they don't agree then ask your IP to see if creditors will accept what has been paid to date in full and final settlement
Thanks Mel . I truly value your opinion on these matters . Just a quick one if i may . You have mentioned the creditors accepting payments made to date as F&F . I know each case is different but is there anything you can suggest that may help that process in terms of questions to ask. I am terrified this will end in bankrupsy if 75% disagree with the proposal and number 1 scenario is closing the IVA obviously with payments to date as F&F.
As far as I am aware, you don't actually ask any questions. You will put forward your proposal with your reasons for doing so and it is then down to the creditors to accept or otherwise.
