www.iva.co.uk

can some one tell me the truth about iva i will have about 50000k equity on my house in the 5th year if i cant get remortge my firm is saying that all they will do is add one more year �200 a mounth i dont belve its this easy to just wipe out 48k just like that i want to know what is the catch

Basically that's right. Halfway through year 4 you will be asked to re mortgage or take out a secure loan (depending on your IVA terms)
Usually you will be asked to borrow upto 85% of the property value and your mortgage repayments should only increase by 50% of your IVA payment amount.
You probably won't be able to re mortgage, in which case you will continue to pay your monthly IVA amount for an additional 12 months.

There is no catch - if you carry on for the extra 12 months then at the end the remaining debt is written off.

As above there is no catch. Your regular payment into the IVA might have increased a little by then, if your income has increased, so it will be an extra year at whatever your payment is at the time.

On paper and as advertised by some less scrupulous firms it looks easy -- but, in reality, and I guess the catch we all look for, 5 or 6 years in an IVA is not, by any means easy. 5 or 6 years of watching every penny and being watched doing it. It is financially invasive and quite a strain --- but so worth it when you get to the end.

Look at your paperwork - it will all be detailed in your proposals.

The alternative would be for properties to be sold, possibly through Bankruptcy if an IVA fails, and after the extensive costs involved this would very rarely leave creditors with anything so an extension has become the industry standard.

Some creditors are rejecting IVAs where there is substantial equity and little or no chance of it being released. This used to be the case way back and seems to becoming more prevalent now so if you can get an IVA through on current criteria you may be doing very well. It does depend on who your creditors are.