Posted: Thu Mar 15, 2007 3:13 pm
Hi, Didn't know that this existed and am so happy to find I am not alone in this nightmare.
I approached an IVA company last year due to my mounting debts and inability to sleep at night with the worry. The debts were accured through neccesity rather than extravagance.My IVA was agreed and the propsal documents stated that I would pay £200 per month for 14 months and a lumpsum payment of £11,500 when I could re-mortgage which is now. I have approached several mortgage companies and through the use of an independant advisor have been informed that the most that I an borrow on top of my existing mortgage is £6000. I contaced the IP and was told to wait a couple of months as during that time I would have paid a bit more off the mortgage and the house would of increased in value!!!! (crystal ball somewhat cloudy on that one)
I informed the young lady on the end of the phone that as my mortgage is currently on interest only that I would be unable to pay any capital off the initial loan and that also my expenses had increased and therefore my disposable income had decreased during the past few months. She then said that one of the clasues in my propsal stated that I needed to get two mortgage quotes to ensure that I got the maximum equity release for them which I have and am sending onto them.Another clause also stated about the payemnt being net of any fees so does this mean that the fess involved with the re-mortgage are to be taken off the total amount that I can borrow?
What I really want to know is can the offer of a lesser amount as a lumpsum payment induce bankruptcy proceedings and also with the remortgage and moving onto a capital repayment will reduce my disposable income will they be able to ask for an more monthly payments once I have paid the 14 as stated in the proposal. Basically where do I stand? What are the options? I am a single parent with a child trying to keep my head above water.
I approached an IVA company last year due to my mounting debts and inability to sleep at night with the worry. The debts were accured through neccesity rather than extravagance.My IVA was agreed and the propsal documents stated that I would pay £200 per month for 14 months and a lumpsum payment of £11,500 when I could re-mortgage which is now. I have approached several mortgage companies and through the use of an independant advisor have been informed that the most that I an borrow on top of my existing mortgage is £6000. I contaced the IP and was told to wait a couple of months as during that time I would have paid a bit more off the mortgage and the house would of increased in value!!!! (crystal ball somewhat cloudy on that one)
I informed the young lady on the end of the phone that as my mortgage is currently on interest only that I would be unable to pay any capital off the initial loan and that also my expenses had increased and therefore my disposable income had decreased during the past few months. She then said that one of the clasues in my propsal stated that I needed to get two mortgage quotes to ensure that I got the maximum equity release for them which I have and am sending onto them.Another clause also stated about the payemnt being net of any fees so does this mean that the fess involved with the re-mortgage are to be taken off the total amount that I can borrow?
What I really want to know is can the offer of a lesser amount as a lumpsum payment induce bankruptcy proceedings and also with the remortgage and moving onto a capital repayment will reduce my disposable income will they be able to ask for an more monthly payments once I have paid the 14 as stated in the proposal. Basically where do I stand? What are the options? I am a single parent with a child trying to keep my head above water.