Foggy wrote:Who are you with and where do you disagree with what they are doing -- dig out your paperwork and see what you actually agreed to.
Hi Foggy
Just some back ground on my iva . Going through my paperwork there should have been equity release review on my house in month 54 of my iva as per contract this was never completed due to my iva changing company to knightbride because pdhl went bust 2015 . when i found my iva was moving to knights bridge i contacted them by email to confirm that the last payment of my iva would be taken from my account on the 25th march 2016 to which they replied yes to . so all paymentsto my iva was completed on this date from 25th march 2016 i did not hear anything from knightbridge until late September 2016 where by i received a letter stating that they was extending my iva for 6 months so they could do there equity release review . i called then up and explained that should have been done in the 54th moth of the iva to which they took full fault for not completing . i did not hear anything them until November when i received a letter from a company called the select partnership who stated they would be acting on my behalf to help find a Leander who would help me release equity from the property as knightbrige had passed my details on to then for help with closing my iva . i was then again contact in late November to state that i had release just under 8 thousand pound from property and i had to take out a second charge mortgage to complete this . looking into this would mean if took this out id be paying back 120 pound per month over 25 years life of mortgage = just over 30,000 that means i be back in debt and be paying more that my iva was to start with . now it coming up to march 2017 and i have nearly done a full six years in this iva . and while know nad wish to give them the money i also do not wish to be debt again . do you think if put my house up for sale and give them the 8000 on compilation on sale that this would be possible or do need to take out this second charge mortgage to close the iva . as i feel that if was was given the option to a do extra 12 months in my iva as stated in my contract that my iva would have been ended .as march 12 weeks away i would be going into my 7th year and i know after six years the iva would drop off my credit file anyway
I am not sure they can force you into taking out a second charge. Think you need to post the exact wording of your uva that refers to month 54 and release of equity ...once we see that we may be able to advise in more detail.
Sharing from experiences of dealing with debt
There is a solution for everyone .... Just need to stay positive !
I agree with Luluj - if there is nothing in your original paperwork stating that you have to take out a secured loan then I don't they can force it.
Stick to your guns, a lot of posters have had this problem and the IP companies usually back down.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
First -- the IVA will not drop off after 6 years unless it is completed.
Your IVA was pre 2014 Protocol (assuming it was a Protocol arrangement, but others follow broadly similar lines) so it won't have secured lending in the terms, just remortgage or extend. A second mortgage or secured loan is not the same as a remortgage and cannot be forced upon you. Mind you, if you could remortgage it would be at awful rates and the second loan would be the better option in all probability.
Anyway -- first get your head around exactly what it says in your paperwork about equity release, so that you are sure of your ground, then challenge them. You will at the least, however, get an extension of 12 extra payments.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
The other question is (unless I missed the answer somewhere!) do you have any equity in the house? Has it been valued?
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Did you cease paying the IVA in March or continue on? The reason I ask is that if you continued to make payments then the equity has been dealt with via an extension so you could not be expected to extend and release equity. If you have not been paying then you may have to agree to something to address the equity although this should have been dealt with earlier. You need to speak to the IP themselves and get answers.
You may not need to obtain a secured loan under the terms of your IVA and an extension could just be automatic but do not sell the house. Even if you were obliged to release the £8,000 it would be better to do so and then sell otherwise you could lose a lot more equity. Alternatively you could remortgage or obtain a further advance to clear the loan as soon as your credit file was clear so there are options.
