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Posted: Sun Aug 31, 2014 9:54 pm
by Kate.72
i am very confused about the equity release clause as i have come to the end of my I.V.A and am a home owner does it mean we have to keep paying ? my husband has left the marital home and finances are extremely tight !!!!
Posted: Mon Sep 01, 2014 6:27 am
by seagulls
If you have the standard IVA protocol agreement you will be expected to remortgage if you have over £5000 equity based on 85% LTV of your property.
If not, a sixth year of IVA payments is usually required . Best to have a look at your original paper work .
Posted: Mon Sep 01, 2014 8:57 am
by Adam Davies
Hi
Very unlikely that you will be able to remortgage so expect a 12 month extension of your IVA
How much do you think your house is worth and how much is outstanding on your mortgage ?
Regards
Posted: Mon Sep 01, 2014 9:20 am
by Michael Peoples
Even if there is equity creditors may allow closure of the IVA if the contributions are no longer affordable. Speak to your IP for some advice.
Posted: Tue Sep 02, 2014 8:18 am
by Bob and Gill
Can they force you to extend even if there is no equity??
Posted: Tue Sep 02, 2014 9:05 am
by Michael Peoples
It would depend on whether or not the other conditions of the IVA were met. For example, if not all overtime was paid over or there was a minimum dividend requirement, the IVA could be extended regardless of what the equity situation would be.