www.iva.co.uk

Hello, I was coming to the end of my 5th year when I was contacted about the remortgage. This was not possible as no one would offer us one/not enough equity. Instead we were offered a secured loan against our house for years which would have added another £30,000 of debt (had we not then been able to remortgage after completion on a better rate) so we declined. All our paperwork only states about remortgaging. We tried to contact DFD and discussed with them the 12 month extension. We heard nothing for some time so emailed them before Christmas to chase them up and a couple if times since. All the income & experience was done. They have just got jn touch to send the 12 month extension request to creditors but we already 6 months through the 6th year! Our last payment is due October. I got made redundant in Aug but found work in sept, becoming perm in Novemeber and have paid in my redundandcy amounts. Is this correct?
What happened if creditors refuse it but we have already been making all these payments.
Also the letter they sent us last week was saying this was request was made as we were in breach by not accepting the secured loan but our agreement was only the remortgage.
We turned down the agreement amendment that DFD brought in a year or 2 ago about other ways to release. Aby reassurance would be great.

Hi,

Does it mention anything in your original paperwork about a secured loan?

...or any modifications made since the start of your IVA.

This tends to be a newer term of an IVA so would be surprised if it was a term in your original.

Write back to DFD by recorded delivery and ask them for clarification of how they believe that a) this term applies specifically to your IVA and b) why the IVA would fail if you did not/were not able to take the secured loan.

I presume you have verified the valuation and that you have equitable interest of over £5k.

I suspect the 12 month extension should apply to you.

Did you sign DFD's IVA Variation back in 2014 (or otherwise accept it by default, by not doing anything? - lots of IVA companies give you that 'option').

If so, you may have been duped into allowing your IVA to be varied, to include the modern protocol terms - which includes the secured loan provision.

Very comprehensive article on it here:

http://debtcamel.co.uk/dfd-iva-variation/

Might explain the number of DFD customers querying this point, as the company have arguably been a little under-hand.

Dear chainedtodebt

Please contact me directly via the email address in my profile. This will allow me to discuss your issue in further depth.

Regards

Hi

Can you update the forum with the outcome of your discussion with DFD please, this is an interesting and very important issue that needs clarification and a definitive answer

Regards