Need Questions answered if possible please

[rennats]

Hello all,

Firstly I find this forum very helpful, but can't find any help about my problems. Please help if you can.

I've been paying my IVA for Six Years which ends in May 2014. I'm with a company called Grant Thornton (Belfast) oringinally with Blair Endersby.

Now they are asking for a re- mortgage, my partner has recently seperated from me, we own the property jointly and she has refused to allow this request, I wrote and explained this to my IP and this was the response I recieved.

"Quote" I understand that the re mortgage clause within your arrangement may have caused you both some worry and I fully understand your partners concerns, however due to your current financial position we are aware that it is very unlikely that you will be able to re mortgage your property hence why you creditors have advised if you cannot re mortgage your arrangement will be extended by 12 months in lieu of equity. "Unquote" Do I have pay for another year making my IVA 7 years long.

I have checked my credit rating which is excellent at the moment, weither this is relevant or not I'm not sure.

I also do not fully understand or not sure how I complete their requests of the following questions.

1) I would therefore appreciate if you could send us a valuation of your property as well as you mortgage redemption figure at your earliest convenience so that we can advise you accordingly. where do I start to get these answers and how do I do it ?

Taking into account my partner (Not married) wants nothing more to do with my IVA, she has helped with the payments over the last six years even though none of the debts were in her name, she is not willing to contribute anything more, I understand her feelings about this.

So my question is, if I refuse this re-mortgage option and not take any action what would be the outcome, taking into account for the past six years I have never missed a payment.

Yours hopefully

Rennats.

[PlanB]

Re: Need Questions answered if possible please

I know nothing about IVAs so wait for someone else to come along, but I'm shocked to see yours has gone on for six years when I thought it was all over after five years. And now they're seeking to keep it going for seven years. When will this misery end for you

If they're asking you to provide a valuation of your property then you must get a 'quick sale' low valuation such as an auction price. They're asking for your mortgage redemption figure so I'm guessing they're trying to establish how much equity is in the property. I'm glad to see it's jointly owned because your partner will have a beneficial interest in that equity which may throw them off the scent. What would be the case if you established you had no equity (do you?) will they let you end the IVA then?

Was a Restriction put on the property at Land Registry when you started the IVA? I'm told that can happen.

[rennats]

Re: Need Questions answered if possible please

Hi PlanB

your question: Was a Restriction put on the property at Land Registry when you started the IVA? I'm told that can happen.

Answer: No I don't think so, how could I check this please?

Regards
Rennats

[PlanB]

Re: Need Questions answered if possible please

You can download a copy of the Title Register (£3 charge) from the Land Registry website in the link below. This will show you any charges and/or restrictions on the property. If there is a Restriction on the property I understand that it will be removed when the IVA completes.

https://eservices.landregistry.gov.u...0c6McFQH3SLFU/

[Never-In-Doubt]

Re: Need Questions answered if possible please

There shouldn't be a restriction added unless you foolishly agreed to one, because you'd first need a CCJ against you to make it formal like any normal claim. IVA utilises parts of BR Law/Courts so it wouldn't give an auto-restriction, no.

Regards going UE - what's the point after 6yrs? If 6yrs of payments were agreed and these were paid then maybe you should stop paying as agreed at outset, they cannot change the goalposts because for an IVA to be agreed the majority must agree to a percentage, once accepted it's set in stone. So there is no reason to extend it, I'd say you need to argue this with the insolvency person you're dealing with.

I'm no expert but based on the basic principle of bankruptcy, once a settlement in the £ has been agreed by the creditors then that's that - they cannot ask for more can they?

An IVA can last longer than five years if you need to make up for missed or reduced payments or if your proposal states that the IVA must be extended if you are unable to release any equity at the end of the fifth year.

[Never-In-Doubt]

Re: Need Questions answered if possible please

So my next question is, did you agree to any equity release or anything?

Can an you find the original creditors agreement letter from the date you agreed to the IVA, I mean the letter from the firm saying the creditors agree and which also spells out the terms of the IVA and the repayments and term?

Can you then mail me a copy of this please, webmaster@all-about-debt.co.uk and then we should be able to clarify the finer points for you.....

i just seen seen the following, helps to understand a wee bit more...

Whilst an IVA will reduce the amount that you pay back to your creditors, it is unlikely to be as much as 90%, which is a figure you may sometimes see quoted. What actually happens is that an IVA advisor helps you and your creditors to reach an agreement about how much money you can reasonably afford to pay back each month, after your living costs have been taken into account. How much debt is written off depends on your circumstances.

An IVA can, however, be a very effective solution for some people. In reality, an IVA will write off between 50% and 60% of an average debt of just under £60,000. Such a typical IVA would mean a reduction in the money owed to between £25,000 and £30,000.

Interest and charges on any debts included in the IVA will also be stopped, you won’t have to sell your home as part of the agreement (although you might be asked to release some of the equity in your home at the end of the IVA - only if you can afford to) and your creditors cannot take any further enforcement action against you, such as petitioning for your bankruptcy.

[PlanB]

Re: Need Questions answered if possible please

An IVA can last longer than five years if you need to make up for missed or reduced payments or if your proposal states that the IVA must be extended if you are unable to release any equity at the end of the fifth year.

That's the bit that's bothering me too. The OP has completed a sixth year so why are they going for a seventh? I also understand that they can only extend the five years if there is more than £5k equity in a property so the OP needs to tell us a bit more about that.

Apparently (if Google is to be believed) the IVA Supervisor can place a Restriction on a property at the start of the IVA to protect the creditor's interests throughout the term It gets removed when the IVA is completed.

Obviously it would be in the interests of Grant Thornton to keep this IVA running as long as possible so they can get more fees. That's just my personal cynical view and not a libellous attack on the firm's integrity

[Never-In-Doubt]

Re: Need Questions answered if possible please

Seems they do it to a lot of people, I would therefore seek impartial advice from whoever regulates GT as you're not the first and certainly not the last to complain of these IVA extensions.....

--> https://www.google.co.uk/#q=grant+th...va&safe=active

And a nice review -> http://www.iva.com/iva_review_detail.iva.asp?r=6130

[Never-In-Doubt]

Re: Need Questions answered if possible please

Interesting from ND --> http://www.nationaldebtline.co.uk/en...ments#chapter6

Remember you need to cross check against the IVA Protocol - that's the IVA daddy --> http://www.insolvencydirect.bis.gov....arymeeting.htm

[PlanB]

Re: Need Questions answered if possible please

Seems they do it to a lot of people, I would therefore seek impartial advice from whoever regulates GT as you're not the first and certainly not the last to complain of these IVA extensions.....

--> https://www.google.co.uk/#q=grant+th...va&safe=active

Wow that makes sober reading. There's one case where the IVA supervisor was trying to force the debtor to make PPI reclaims to raise extra money for the creditors before closing the file even though the IVA was complete

[rennats]

Re: Need Questions answered if possible please

Hello all,

Apparently I have a clause in my IVA, which I'm trying to find in the documentation.

re mortgage clause

I can't remember this, so I'm trying to find it, the other question is I would have had to sign this along with my ex partners signature (Correct) if she did not sign it of which I'm fairly sure she did not, how can I go ahead with this without her permission.

Regards

[Never-In-Doubt]

Re: Need Questions answered if possible please

Hello all,

Apparently I have a clause in my IVA, which I'm trying to find in the documentation.

re mortgage clause

I can't remember this, so I'm trying to find it, the other question is I would have had to sign this along with my ex partners signature (Correct) if she did not sign it of which I'm fairly sure she did not, how can I go ahead with this without her permission.

Regards

Well try and get a copy, if you can't find it ask the IP direct for a copy of the letter that was issued at the time you signed up.....

[Never-In-Doubt]

Re: Need Questions answered if possible please

Question time:

1. Your total debts included in, and at the time of IVA commencement
2. Amount of the IVA (after the % written off)
3. Monthly agreed payment

thanks....

[PlanB]

Re: Need Questions answered if possible please

I've been paying my IVA for Six Years which ends in May 2014. I'm with a company called Grant Thornton (Belfast) oringinally with Blair Endersby.

Blair Endersby sold its IVA portfolio to Grant Thornton in 2011 so GT should have all your paperwork on file including your original agreement.

You might want to check whether you were charged any extra set-up fees by GT when they took over management of your IVA while you're at it.

[PlanB]

Re: Need Questions answered if possible please

Taking into account my partner (Not married) wants nothing more to do with my IVA, she has helped with the payments over the last six years even though none of the debts were in her name, she is not willing to contribute anything more, I understand her feelings about this.

Do you mean your partner's income was taken into account when assessing your monthly payment to the IVA at the outset? It's possible that her contribution to the mortgage payment and household expenditure may be considered (to lesson your expenditure) but were calculations done which meant she was actually paying towards your creditors?