www.iva.co.uk

Hi

Me and my husband have an interlocking IVA and it says on the front of each of our proposals "To be read in conjunction with .......". There is a possibility that we will be splitting up (not because of the IVA and debt stress, for other reasons) but not yet a definite.
Can you clarify something for me please?

On each of our proposals it says about the Equity Release figure in year 4 being something like £15,000 odd. Does this mean that we each have to contribute £15,000 or is this the total contribution expected between us both. I think its the latter i.e. we would be expected to find £15,000 between us. If it helps to clarify matters, at the time of us entering into the IVA our house was valued at £250,000 and our outstanding mortgage and secured loan was around the £240,000 mark.

Thanks

Liz
x

Hi
It will be a joint equity release,so if you split your personal liability should be less.
Speak in confidence with your IP and get a clearer picture
Regards

Hi Andy

Thanks for this - just to get this clear in my head, if we stay together (hopefully we will, but you never know), we will have to find £15,000 and not £30,000?

Liz

Sorry about this but want to bump it back into the list as I have another question for the experts.

I'd need to see the the clause to give you a definitive answer, but by interlocking the proposals you typically you create one pool of assets and one pool of liabilities, so unless there is something unusual about your proposals I would expect it to be £15k rather than £30k.

How old are your IVAs as your proposals would appear to anticipate an increase in value? Is that realistic in the current climate?

Ian

Hi Ian

Thanks for your reply. We started our IVA in October 2006 so I agree with you that they are a bit optimistic in coming up with the £15,000 odd equity release. Can I PDF you our proposals so you could take a look for me please or is that too cheeky. Its pointless trying to speak to our IP about it as you can never get past the border patrol!

Thanks

Liz

Not a problem.

I'll be here for a few minutes so if you ring our freephone number I can give you my e-mail address. Admin wouldn't want me to post it here.

Ian