Basic situation - Husband became ill in 2007. Prognosis of 5 years. I contacted everyone I owed money to and set up reduced payments. I also, probably foolishly, changed my mortgage to interest only so I had some money left each month to pay off my debts. Despite help from family things are now getting bad and some of the people I owe are referring me to Debt Collection Agencies. I have never disputed that I have to pay and have sent more than I can realistically afford.
I contacted payplan last week and as I have equity in my property they referred me to a specialist mortgae broker - today I heard I could not remortgage. I have a mortgage (interest only) of 126k with a secured loan on top of 19k. My debts are around 26k and after doing an I&E I have £202 per month to offer against my debts.
Should I seriously consider an IVA? Will my creditors accept my payment considering I have already been paying reduced amounts for over 2 years? I currently pay, thanks to hand outs, around £388 per month.
Sorry to go on but I am at my lowest ebb and do not want to add to my husbands stress by being forced to sell the house Thank you to anyone who can comment