www.iva.co.uk

Hi,
I have an IVA, been paying it for 2and1/2 years, also I have an 130% mortgage which I've been paying it monthly for the last 3 years. I worked overseas to cope with all this debts (over 1300 pounds monthly) but now I'm facing unemployment prety soon and I wont be able to cope with my mortgage. Can you give me any advice about my situation please?
Regards,
ioan

Hey ioan, welcome to the forum. Really sorry about your job. Will you be getting any redundancy pay? An expert will be along shortly to help, good luck, Viki X

Hi iaon and welcome to the forum

I think the best thing to do is deal with these issues in stages.

Firstly your employment. Are you going to be entitled to any redundancy package, and how quickly do you feel that you can get a new job?

Secondondly your mortgage. Most mortgage companies - especially in the current climate, will allow a short payment holiday in circumstances such as yours. Do you have any mortgage protection insurance?

Lastly - keep your IP informed so that they are aware of your difficulties and can react in the event that you also need to take a short payment holiday from the IVA until you find alternative employment.

Thank you, yes I will keep my IP informed.
No, there is no insurance and only after 5 years I can apply for holiday. What happens if I fail mortgage repayments, the house gets repossesed , bankruptcy. Can the house get repossesed without going bankrupt?

Personally if you aren't able to locate new employment relatively quickly then bankruptcy may be your option

You can still ask the mortgage company to grant you a payment holiday due to exceptional circumstances - they can only say yes or no. Once a mortgage falls three payments in arrears this gives the mortgage company the ability to apply for possession proceedings, so you do have a little time to try and sort things out.