I sold my house during iva without permissionwhat will happen

gaz3779

I am in my final year of my iva (i hope), but i sold my house without permission in year 3 without making any extra contributions as the money left over went on paying off my partners debts(which we had lived on). Will i have to do another year or will i finish on the date originally set?
I have informed my supervisor that my house was sold and i have not been advised of any changes to my payments or terms.
Any comments will be appreciated.

kns_2

I think they will fail your Iva and possibly make you bankrupt if its in your clause:eek:

adfax

Was the house in joint names? If it was, then 50% of the proceeds from the sale would, in the eyes of your creditors, be [STRIKE]your's[/STRIKE] their's. They would expect (quite rightly) a significant share - if not all - of this towards paying off your debt. Your partner would be entitled to keep their share.

Did your IP not have an interest registered in the property to prevent you selling it without their knowledge (... the fact that you managed to do this makes me assume that they didn't have an interest registered at the Land Registry which is surprising).

To be honest, without knowing exactly what is written into your IVA it is impossible to say what may happen. Having said that, I am 99.9% sure that if I managed to pull this off and it subsequently came to light then the best I could hope for would be for my IVA to be failed. And I suspect that it is 99.9% certain that the IP would find out somewhere along the line.

I hope my gloomy outlook proves to be wrong ...

althas

Agree with what people have said. There will be specific clauses in the IVA agreement relating to this. You need to talk to your IP NOW about this, do not put it off and hope they do not find out. I will guess that part of your IVA is to look at releasing equity in the property in year 4 or 5? So there will be no way to hide this. Talk to them