IVA -Help needed plz

Darranwrx

Hi I am currently 4 1/2 years into my 6year iva. I have been on interest free payments for my mortgage now for the time I have been in the iva. My mortgage company have now decided that this is no longer an option even thought I was told that it was more beneficial for them if I continued on interest only whilst in the iva as part of the debt I'd owed to them. My payments are due to increase by approx £350 a month and I only pay £275 to my iva. Due to an error made by the iva company I am currently and have been for the term in my iva paying £80 more than my expenditure form says I can afford. To cut a long story short there is no way I can afford to pay this new payment and my iva. I have had PPI amounting to over £10,000 paid into the iva however they still expect £25,000 worth of equity which there is no way I can release as I am unable to remortgage while in the iva. I have explained to the mortgage company that I can not afford the payment however they said if I don't the will take legal action. I have also contacted the iva company who are very little help and said this could go down the bankrupcy route however due to the fact that I have paid my mortgage without fail for the past 15 1/2 years and have 2 young children I don't want to lose our home. Can anyone offer any advise, I have 3 weeks to come to some sort of solution before they increase the mortgage.
Tia

UpToMyNeckInIt

You are going to need to make a fairly urgent call to your IP, and explain the situation - additionally, emailing themyour account above wouldn't hurt either.

Given that an additional £10,000 has been realised, and based on your information, your creditors may consider this, plus your payments to date as a full & final offer, and conclude the iva early.

A lot depends on your circumstances, but over the last couple of years, I have come across apparently similar cases being accepted.

I would like to think that your case would be favourably considered, as you clearly wold not be able to afford any sort of equity release.

Fingers crossed for you, and let us know how it all goes.

debtfree2016

Hi Darranwrx, I had the same problem. Look back at my threads your IP should be able to reduce the repayments by at least 15% the fee'.

memberme

Hi,
I was in the same boat this year with NRAM, who are famous for it.
Have managed to keep them at bay for 5 years of my 6 year IVA.
they put me throught o some one and after a bit of tooing and frooing they more or less directed me to say that i would be looking to possible other income sources within 12 months. they agreed and that was that for another year.
NRAM will usually consider any new requests to extend interest free that are less than 12 months more favourably, so if you have the same bank or evn another you could trya nd renegotiate for 6 months say and try again then. best wishes.
My issue is that my IVA company new this was not guaranteed as did yours, so they should be helpful.

memberme

which IVA company you with?

also if you do manage to renegotiate, check your bank details carefully and ensure you get a copy of the new agreement posted. I had to go through it twice as the person who agreed and sent me a letter, forgot to tell anyone else who then ignored that agreement and i got charged twice in one month. Quickly corrected under the DDebit/SO error return rule banks have but raises the blood pressure, so watchout until it has defo been underwritten not just agreed by an odd job

Darranwrx

My mortgage is also with NRAM
Also the debt company/iva are Clearbebt

Darranwrx

Once we receive the evidence of your mortgage contributions increasing I will update your expenditure.

This is just one reply from the iva company my wife got back today

Unfortunately £80.00 is very low between both IVA’s and it probably won’t be enough to continue. Have you had any thoughts of what you would like to do if you can’t continue with the IVA?

Darranwrx

I really need to find out where I stand with my house
Surely a small payment is better than no payment to the iva ?

memberme

Suprised.
I am also with cleardebt and found them fine.
Although on the mortgage ssue i have dealt with the bank direct and not had to involve them.
2 years ago when having doubts about keeping on intersst free i spoke to my advisor who said my mortgage came first snd they'd get aroubd it some how. I think part of it cones dowj to afordabilty.
My iva us huge and once gine i could pay any increase in mortgage which may have helped.
If all esle fails either ask to submit for final settlement rewuest on what you've already paid or ask them to extend to cover your increased mrtgage oayment. A failing iva in year5-6 woukd be a sign of compkete miss management. By tge way...when important emsil david mond directly. I do. He's the boss snd ticks all final bixes on tricky decisiobs and is very fair.

memberme

Excuse grammar keyborad is terrible

memberme

Another word just in case...always phone your advisor snd get confirmation by email. Snail mail just gives you blood pressure. Seal with it directly and call them up. Best wishes