Remortgage With IVA

10past6

Hi folks

Can someone clarify for me, we're in the process of an IVA application, if accepted, my current fixed deal finishes June 2009, what will be the situation then, will we still be able to remortgage?

Thanks

herbiesjp

Potentially - but with higher rates.

So your best/cheapest option could be for a product switch with your current lender - who are they?

Mr_helpful

Are you sure an IVA is a good idea. they seem to be flavour of the month but they hammer your chances of getting decent credit for a long time.

Wutang_2

Get on to the CCCS - don't go down the IVA path its a nightmare. As an adviser I would say 95% of those stuck in an IVA face so many other problems.

selectcase

Its an odd situation but I had defaults registered and went the non iva route and did a reduced payment plan with the CCCS however i did get defaults registered againt myself and my wife for around 11k - we never missed a payment just reduced them.

Looking at a lot of mortgage lenders criteria defaults are classed the same as CCJ and on some you can be out of an IVA for 6 months but no CCJs over say 7.5k so in some instances i would have been better going the iva route. Just an interesting point really.

Just to say before some of the less appealing members of this forum get on this post - you dont know why some people get in to bad debt so best not to judge! it could be unemployment, medical expenses for a family member etc?

cheers

will

10past6

herbiesjp wrote: »

So your best/cheapest option could be for a product switch with your current lender - who are they?

Hi herb

Nat West.

Wutang_2

Will - I can't see anyone criticising as this is a site where credit blips occur regularly. Get over your complex and avoid the IVA

10past6

Mr_helpful wrote: »

Are you sure an IVA is a good idea. they seem to be flavour of the month but they hammer your chances of getting decent credit for a long time.

Hello Mr Helpful

Well, I believe so, we're on a DMP, which will take forever to clear, I done some research, and believe an IVA is best for us.

I know that IVA are only for a very small % of people, but from what I understand, we do fall into the small %, i.e we have a home with some equity in and have no intention of moving.

BR is not an option, due to us not wanting to lose our home, that leaves either DMP forever, or IVA.

10past6

Wutang wrote: »

Get on to the CCCS - don't go down the IVA path its a nightmare. As an adviser I would say 95% of those stuck in an IVA face so many other problems.

Take a look at my signature, we've applied through CCCS for our IVA.

10past6

selectcase wrote: »

Looking at a lot of mortgage lenders criteria defaults are classed the same as CCJ and on some you can be out of an IVA for 6 months but no CCJs over say 7.5k so in some instances i would have been better going the iva route. Just an interesting point really.will

Thx Will, intresting points.

doelani

I have just remortgages to do a Full and Final on IVA after 3 years and the remortgage process was a nighmare due to IVA not beeing registered on our credit file but we were able to get it sorted. The one thing to remember is once in an IVA you will have to get IP permission to remortgage. Your current provider may change product for you without doing credit check but if trying to go to a different lender you may have more problems.

Our fixed term on mortgage ended 6 weeks ago so we had to go onto SVR with current provider as I did not want to get tied into another fixed period with current provider as we were looking at remortgage.

There are lenders who will lend to people who have been in IVA but fees are high as are interest rates. Can I ask is your current mortgage repayment or interest only? The one option we did look at was once our fixed term ended was we were going to change to interest only for a few years until IVA had finished tehn return to repayment. Even to do this we had to get IP agreement .

If in doubt ask the IP who are arranging your IVA, I was alwasy on phone to mine asking advice about things they could happen.