Asking for equity out of Parents home 18 months after IVA....
The Total debt was around £50k I believe, and they came up with a payment plan that worked out at £500 for 60 months, thus paying around £30k back. They are now in their 60s, both working full time (which isn't sustainable but needs must), but there is equity in the house, which they kept through out this, although the mortgage is due to go till they are 72. The IVA ended in September 2018 and we thought that was the end of that. Please note, I said 2018 not 19. As far as they were aware this was the end of that.
On Apertures site its quite clearly stated:
"Under the terms of your IVA, if you are a homeowner and have equity in your property, you may be required to re-mortgage six months before the end of the arrangement and pay the money released from the re-mortgage into your IVA."
"Re-mortgaging to release equity to pay into your IVA is not restricted in the same way as taking out a new mortgage would be. However, it may still be difficult to find a mortgage company who will lend to you while you’re in an IVA.
If you can’t re-mortgage, or if it would be too expensive to do this, you may need to make extra monthly payments into your IVA, increasing the term by 12 months. You can also get a third party to provide money for this"
I cannot find anything in the original Debt Free Direct Paperwork to suggest this
Bit at a loss of what to do, my poor mum's worried sick, and can't really contact any one of CAB during the lock down
Anyone got any thoughts?
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