www.iva.co.uk

I am currently in a IVA and have been for only a few months and was hoping some could help with these questions

1 - Our mortgage is going to go up £250 as off next month what will the IVA people do to accomadate this

2 - We have a forth year clause where we must remortgage so was wondering what happens if

a - If we remortgage in the forth year and we cannot effort the new mortgage payments we they still make us go though with it.

b - What happens if our house price drops loads so its worth less then now

Thanks for you advice.

Hi and welcome to the forum.
In answer to your questions,

1) Speak with you IP about the higher payments as it could be possible to have a variation meeting to lower your monthly contributions.

2) a, you will only be required to take on extra payments totaling to 60% of your disposable income.

b, If there isnt sufficient equity in the 4th year either the creditors would be expected to accept a lower dividend or the IVA can be extended slightly to accommodate this.

Check the wording in your proposal, it should all be in there
somewhere.

mrs skint

How strange that you have only been in an IVA for a few months, yet your mortgage is increasing so sharply so soon in. Surely your IP was made aware of this and provision ought to have been built in to accomdate this. How did you feel you were going to be able to make the payments?

With regard to the 4th year provision, you need to check the wording of your IVA to see what provision there is for affordability. These days it is normally limited to 60% of your disposable income, and if there is no equity then there is nothing to rais.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

Hello,

If this increase is due to you reaching the end of a fixed or discounted period I'd suggest two courses of action:

1 - Speak to your current lender about whether they can switch you to a more attractive mortgage deal.

2 - Speak to a mortgage broker experienced in dealing with case connected to IVA's and see if they can find you a more attractive mortgage arrangement.

Andrew Graveson
Mortgage Broker & Bright Oak Debt Management
andrew@brightoak.co.uk
www.brightoak.co.uk

One of the brokers I regularly work alongside got someone a mortgage at under 6% today. Is this a record, or a sign that confidence is being restored to the mortgage market?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

Thanks everyone

MelanieGiles wrote:

How strange that you have only been in an IVA for a few months, yet your mortgage is increasing so sharply so soon in. Surely your IP was made aware of this and provision ought to have been built in to accomdate this. How did you feel you were going to be able to make the payments?

They were told that are fixed rate ended Jan 2008, we've just signed up to our new mortgage and have stayed with the same lender as I always thought having an IVA would make it impossible to get a mortgage.

I have found the IVA company that I have use have been useless and I wish I never used them, it has taken me ages to get someone to ring me and their website is always down. In fact I am scared that they may be going under.

Which firm are you using?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

I'm with Ostrich

Never heard of them. Who is the IP?

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

How do I find that out? Sorry this really confuses me

Who is the person who is acting as your Supervisor at Ostrich? They will be named in your IVA proposal.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

How do I find that out? Sorry this really confuses me

Read the proposal and see who is acting for you. I am sorry to be a bit blunt, but I find it hard to believe that you don't know this information, which further demonstrates that you may have received poor advice.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

I've taken this from the chairmans report

Alan S Bradstock FCA FCCA FABRP, Licensed Insolvency Pratitioner

He is the IP at Abacus Financial Solutions - part of Langley and Partners. Was it Ostrich how referred you to this firm?

You now need to seek his advice urgently as to what to do about the mortgage, which to be frank should have been considered at the time your proposals were agreed and submitted to creditors. A variation of the terms now seems the only option to save the IVA, unless you shop around for a cheaper mortgage deal.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp