www.iva.co.uk

Hi Folks, Ijust discover this Forum. great to have others out there to talk to!! First question though..
Can someone advise what is the difference Between an IVA with an equity clause and one without.

Hi Lisa,

Unfortunately I cannot answer your question but just wanted to welcome you to the forum. There are some amazing people on here and believe me someone will answer your question in no time.

Best of luck.

Andrew

Hi Lisa and welcome to the forum.

If you have your own house then the chances are you will get an equity release clause with your IVA. If you are unable to release the equity then the IVA normally carries on for another twelve months.

If you are in rented accommodation then there can be no equity release and so, unless a creditor insists otherwise, your IVA will complete after 5 years.

I would have a word with a professional if you are looking at doing an IVA. Visit www.iva.com for a list of companies and reviews and give one or two a ring, you will receive free and impartial advice about your specific circumstances.

hi lisa and welcome to the forum,are you a homeowner and if so have you got any equity in your house.

Hi Lisa and welcome from myself too. All good advice above and hope this answers your post. x

Lisa - welcome to the forum and please keep posting your questions / updates etc - we are here to support you through your journey -feel free to ask anything there is always someone about to respond !

Are you a homeowner Lisa, and if so is there any equity in the property at present?

Thanks for the welcome folks really means a lot in these tough times in answer to the question, i am a home owner and i think with the current market i would have around 10k max in equity.

If you were to propose an IVA to your creditors, they will expect you to contribute something to the IVA from the equity - subject to a maximum lending of 85% loan to value during the final year. As it is likely to still be very difficult for folks to refinance their properties whilst they are in an IVA, the most likely outcome for you is to have to pay over six years rather than five.

Best to take advice directly from an insolvency practitioner who can look at the overall position regarding your current financial difficulties.

Definitely seek some advice from an IP Lisa, visit the link posted above or speak to any of our experts on here. You can find their details in the 'Ask a Question' section on the left hand side of the page.

Hi Lisa - glad you found us - you'll have lots of support on here and the chance to ask as many questions as you like!

When you're ready, speak to 2 or 3 companies to get further advice on your situation - you can then look at your optionsn and know which is the best way forward for you.

Regards,

Thanks For the Advise on this, I do already have a arrangement in place 1 year in on the 1st March! It was just a read on the Forum that Someone Didnt Have that Clause, i realise now that this was because they are not a homeowner. What if there is isnt any equity by the 53rd month?
Thanks Again L

Hi Lisa, then normally a 12 month extension of your IVA would be payable in lieu of equity. x

Thanks Lesley, i'll not celebrate be first 12 months to much then....

They're all different Lisa and your IP should be able to clarify the equity clause in full to you or your paperwork?

I'm assuming I've got the extra 12 months and taking it from there as if it doesn't materialise then it's a bonus for me.