Is it for me??

TeetersOnHeels

Head seems to be filled with all sorts of useful info, but not sure what exactly suits my circumstances...Perhaps someone can offer some objective tips?
Single parent of a teenager.
Work full time, in a job where BR is not an option.
Earn £28000 per year.
mortgage £86000, just fixed for 5yrs at 4.99.
House value approx £125000
Secured loan - outstanding £12000. 4yrs to run at £287 (horrific penalties if paid off early :eek:)
Unsecured debts of approx £22000 spread amongst 5 cards and 1 overdraft.
After doing the debt remedy thing wit CCCS an IVA was recommended.
On the SOA calc on DFW forum I'm £76 adrift each month ( have included everything I can think off)
Sooo, I suppose what I'm really asking is should I try and have 6 really lean months to see how I get on? Or make a serious decision regards an IVA sooner rather than later? The secured loan has 4yrs to run, and then I'd really be able to make some headway.
Feeling a bit confused

Radiantsoul

I am not sure, it seems that if you entered an IVA your creditors might expect you to release some of the equity in your property - although it is pretty limited.
Four years seems a long time to wait if your unsecured debt only increases, you probably need a plan to see if you can manage it down.

Charco_2

Even with the horrific charges, remortgaging might be your best option (or a large second charge).

I'm a fan of IVAs but dont see how it would be your best option! You're going to have to address that equity (am i right it's £25k ish!?)

bobdauilda

does having an iva stay on your record forever like bankruptcy? how do you manage to renew your mortgage etc when in an IVA? Would it be an obstacle to ever wanting to emigrate etc?

Charco_2

bobdauilda wrote: »

does having an iva stay on your record forever like bankruptcy? how do you manage to renew your mortgage etc when in an IVA? Would it be an obstacle to ever wanting to emigrate etc?

No an IVA vanishes after 6 years from your credit file.

Unfortunately to renew your mortgage while in an iVA you may have to look at sub-prime lenders with a slightly worse rate than you'd get from the highstreet banks - but usually your IP could recommend a starting point to shop around.

I dont suppose it would be an obstacle when looking to emigrate, some place like Australia MIGHT ask it on their entry forms but I dont know. If you're emigrating far enough away though, why not just clear off leaving the debts behind you... :rotfl:(this is not sound advice!)