Can you help me ??

Angel2009

Hi

It looks like I will be going down the route of an IVA. I have unsecured debts of approx £40,000 my house is worth £105,000 and I have a secured loan on it of £67k so a secured loan or remortgage will not work.

I filled in a form on Money Expert ( part of Experian ) who have suggested an IVA. Now has anyone used Money Expert for this reason. Their fee is the first two months payments will go to them and all other payments there on will go to the creditors.

I appreciate your help

Angel

Charco_2

No no no!

Any company who charges up front payments is a company you dont want to be with.

The Creditors/Banks have made it very difficult for IPs in the last year or two and so some companies have started improving their income in other ways...ahem ... but all they banks have really succeeded in doing really is driving some reputable companies out of the industry.

What is happening during the two months you're making payments to a company?
Either they're drafting a proposal and then waiting for your payments to come through before they discuss it with your creditors... OR... they're NOT bothering to draft a proposal yet, they'll collect their money and then they'll think about what to do with you (lots of companies will be happy to take money off you!).

They may not even be the company who deal with your IVA when the time comes. There are some companies who collect your payments and then collect ANOTHER payment for referring you to a company who do offer debt solutions.

THe first thing i would say is that since you seem to have £38k equity why is re-mortgaging not an option?

However, if you want to discuss an IVA then find a company whose advice is free and who wont ask for any money until they've actually done some work and put a solution in place... if you can't find any then PM me and I can refer more than a few!

AN IVA SHOULD LAST FOR 60 MONTHS, EFFECTIVELY THIS COMPANY WILL BE LOOKING FOR YOU TO MAKE 62 MONTHLY CONTRIBUTIONS... Why would you bother?

Angel2009

HI Charco,

You always give excellent advice. I don't have any equity as the house is worth £105,000 and therefore the mortage of £40k plus the secured loan of £67k is worth more than my house.
I will now PM you for the companies.

Thanks so much
Angel