www.iva.co.uk

Hi All
I once again need some advice please
Me and my partner were in awful debt with absolutely no way out our mortgage was maxed not behind but only on interest free payments and total debt was about 125,000 we went for an IVA and was refused.
Anyway we ended up on a debt management plan which would obviously have been never ending.
My partner then ended up one night having an heart attack, HGV Driver so his licence was taken off him and he was at risk of losing his job.
However either luckily or unluckily we realised that we had a life insurance policy and this had critical illness on it and yes they would pay us, yippee you think. They paid us and we held onto the money until we knew that my partner could return to work.
We then phoned each company and asked for settlement offers they each gave one we cleared the biggest debt which was with Northern Rock and then chipped away at the smaller ones most that gave us good deals Lloyds TSB being one of the best.
We paid what we could and then with the rest of the money we decided due to the risk of my partner having another heart attack and the large mortgage we now had without any insurance as it had paid out, we decided to pay a large chunk of the mortgage £115,000 to £45,000 we were so happy almost out of debt and a lower mortgage.

However we still had about £22,000 of debt we continued on the debt management plan
Ok so this is where i need advice we now have a mortgage outstanding of about £45,000 and a house worth £115,000 loads of equity we think, however we have debts still of £22,000 which need sorting easy we thought remortgage as we made the mistake earlier of paying towards the mortgage and not the debt. But no mortgage company Cheltenham and Gloucester will not help us as we are on a debt management plan, if we come of the debt management to wait a while and apply again we default on the four debts on the debt management. I even called Norton Finance in desperation today and even they cant help us.
So close to be debt free yet because of previous mistake still so stuck any ideas anyone.
Love Julie

awww jd kal or mel or one of the pro's will be here soon to advise xxx

Hi. It might be an idea to have a chat with one or two of the firms at www.iva.com I imagine an IVA might be possible now ( if you have a steady income and can service it) for the remaining debt. You have a different panel of creditors this time, so it might be accepted this time around.

However, there is the thorny problem of equity ---- I am no expert, but a canny IP might be able to exclude the equity and include the 12 month extension in lieu, based upon the fact that there is no way on God's green earth you will be able to re-mortgage to release any equity. The cardiac history would prevent this on it's own.

So, if this works, you would be looking at a 6 year tem at the outset, but the equity will already have been addressed ..... worth a try >

Good luck.

It is worth a chat - as any IP would need to find out far more about what has happened to the money you received and who was paid and who was left out.