will my iva fail

[andrea]

our morgtgage is fixed and comes to an end in november and is going up quite alot my supervisor asked us to see if our mortgage company will let us go onto an interest only mortgage in which they said they wont do as it would be a new application and they wouldnt entertain us because we are in an iva even though we have never been in arrears with our mortgage so now we have to wait and see what the supervisor says do you know what could happen we have already extended to 72 months as my children use to pay board and have now left home so it got extended what is the worse that can happen are what usually happens why does this not get taken into account when you go into ivas as mortgages never stay the same sorry to go on but one last thing if we remortgaged if possible would we have to pay them more back than what the total monthly repayments would be over the full term

[Lisa2009]

I think yu should be able to change your mortgage over to another company and go on interest only. Im sure one of the experts will correct me if i am wrong though

[andrea]

i know what you are saying but dont really want to go on interest only as we will lose out all round

[MelanieGiles]

Andrea

I guess that you will just have to decide what is the most important for you - the ongoing IVA or an interest only mortgage. The latter could be academic if your IVA fails and you are forced into bankruptcy. Do you have any equity in the property at present? If not, then I would give serious consideration to the merits of bankruptcy proceedings, if you are going to be unable to fund both increased mortgage payments and your IVA payments.



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

[andrea]

my house is worth approx £130000 and we owe about £98000 so i dont know what equity we would be allowed if we remortgaged also we have never missed any payments in the iva the fixed rate would take us dow n from £277 to £198 is this not enough to pay back the creditors if i decided to go bankcrupt we will lose the house wont we are if i tell the supervisor we dont want to carry on what will he do can we not just sell the house and pay them whats left over and we go into rented

[MelanieGiles]

So if you go bankrupt you are potentially going to lose the house. I would shop around for alternative mortgage offers on an interest only basis, as you will only need to borrow 75% loan to value and I am sure one of the mortgage experts will tell you that is entirely possible even in today's financial climate. This will reduce your mortgage payments, and if you get the opportunity to get a fixed rate to tie in with the remaining IVA term even better to buy you some certainty.

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

[mikebdomain]

Hi andrea Who is your mortgage company? Their answer to your request to go interest only seems a tad strange.

Melenie is quite right your Loan To Value (LTV) without fees and charges amounts to just over 75%. With fees and charges (solicitors - around 695 inc. VAT and disbursements, lenders arrangement fee – anything from .75 to 1.5% depending on the lender you go with and valuation and reference fees) you would be looking for just under the 80% LTV mark.

80% is probably achievable, but it does all depend on your circumstances. There are mortgage products specifically designed for people in IVA’s and the rates are fairly competitive.

Everything as I previously stated, depends on your personal circumstances. I can not and would not ask you all the questions that would need to be asked to be able to determine what would be the best advice to give you on an open forum.

All reputable FSA authorised and regulated mortgage brokers will give you free advice after carrying out a full fact find, this should include a full credit search, a land registry search and some serious homework on the valuation of your property, BEFORE any mortgage advisor worth his/her salt would even offer you a mortgage product. I would suggest that you speak to a reputable mortgage broker/advisor and find out what your options are. Rates ARE higher than they were a few years ago, but there are still some good products out there to be had as long as your circumstances fit the criteria.

(I do waffle when I’m tired, sorry about that…)


FREE ADVICE IS THE BEST ADVICE

LEYBRIDGE LIMITED
Mortgage Broker
Specialising in adverse credit.

see feedback and testimonials at:
http://www.leybridge.com/testimonial.php
Check out my blog at:
http://mikebdomain.blogs.iva.co.uk/
Please read our Initial Disclosure Document(IDD):
http://www.leybridge.com/Leybridge-IDD.pdf

[andrea]

do you offer mortgages for us in iva i have been told to look into it from my supervisor

[mikebdomain]

Andrea please feel free to phone either Leybridge (me) or welshboy (another mortgage broker who posts on this site). My advisors Will give you full advice following a full fact find.

FREE ADVICE IS THE BEST ADVICE

LEYBRIDGE LIMITED
Mortgage Broker
Specialising in adverse credit.

see feedback and testimonials at:
http://www.leybridge.com/testimonial.php
Check out my blog at:
http://mikebdomain.blogs.iva.co.uk/
Please read our Initial Disclosure Document(IDD):
http://www.leybridge.com/Leybridge-IDD.pdf

[andrea]

what is your phone number please

[mikebdomain]

0800 977 7587 Ask to speak to Jamie Watts - he will be able to take you through a fact find and offer full advice

FREE ADVICE IS THE BEST ADVICE

LEYBRIDGE LIMITED
Mortgage Broker
Specialising in adverse credit.

see feedback and testimonials at:
http://www.leybridge.com/testimonial.php
Check out my blog at:
http://mikebdomain.blogs.iva.co.uk/
Please read our Initial Disclosure Document(IDD):
http://www.leybridge.com/Leybridge-IDD.pdf

[andrea]

thanks alot you have been very helpful spoke to your office today and they were very helpful and will be using them in the near future

[mikebdomain]

Andrea - Glad to help.

FREE ADVICE IS THE BEST ADVICE

LEYBRIDGE LIMITED
Mortgage Broker
Specialising in adverse credit.

see feedback and testimonials at:
http://www.leybridge.com/testimonial.php
Check out my blog at:
http://mikebdomain.blogs.iva.co.uk/
Please read our Initial Disclosure Document(IDD):
http://www.leybridge.com/Leybridge-IDD.pdf

[andrea]

just recieved our figures to pay off early i was under the impression we would probably owe the remaining monthly payments we have or less but they want the full amount back plus more looking at them why is this when we were only supposed to be paying back 18p in the pound and your dept is written off well the biggest part is thats what you are told when they are advertising these ivas is it a joke are what have they got these figures right

[Adam Davies]

Hi
Do you have the fourth year equity clause in your IVA ?
If so I think that they have factored in part of the equity release that you would have had to pay in the fourth year.Your creditors with the equity release would have received more than 18p in the £1.
Regards

Andy Davie
IVA.co.uk Spokesperson

About me:
http://www.iva.co.uk/andy_davie_profile.asp

IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp