INDIVIDUAL VOLUNTARY ARRANGEMENT IVA MORTGAGE
We Can Help You Get An IVA Mortgage!
If you have been or are currently involved in an IVA you will probably have been told that because of your bad credit from this individual voluntary arrangement, an IVA mortgage is not going to be easy to obtain. Fortunately this is not the whole story. Your IVA may not be such a burden as you think.
Our brokers have access to many specialist bad credit mortgage lenders who have a more objective view to lending and will consider each borrowing situation on its’ individual merits.
They will take your current circumstances into consideration when making a decision on your ability to make repayments.
Your ability to qualify for a home loan will depend on how long it has been since you completed your IVA and the size of the deposit you have available. A deposit of 5% may be sufficient.
What is an IVA?
An Individual Voluntary Arrangement is a legal agreement between you and your creditors to whom you owe money.
Getting an IVA is a formal insolvency procedure that should be considered when someone has serious problems repaying their debts on unsecured loans and credit.
You will get protection from your creditors, but you will have to agree to arrangements that will eventually allow them to get their money back.
An insolvency practitioner will be appointed to take charge of your financial affairs and to negotiate with your creditors to determine realistically what you can afford to repay each month. During the period of the arrangement you will not be allowed to take on any more loans or credit.
Although, you will probably not lose your home, the equity in it may be released when appropriate to pay off your creditors. If there is equity in your property at the time of the arrangement then this may have to done straight away by obtaining a new mortgage or loan secured against your property to release cash to pay off your debts.
If this is your current situation then give us a call as our brokers specialise in arranging competitive deals for IVA mortgages in the UK.
One of the main benefits of an IVA is that once the arrangment has been finalised your creditors will no longer be able to take action against you to force you to repay them the whole of the debt in full. Furthermore any interest charges on your outstanding debts will be frozen.
Your arrangement will also mean that you can now pay off your debts slower and over time at a rate that you can actually afford. Normally the arrangement will last for a minimum of five years but with a potential option to be extended. At the end of the arrangement any balances remaining on your debts will be written off.
