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IVA Advice

edited 30 November -1 at 1:00AM in Debt-Free Wannabe
12 replies 1.2K views
Fidge2872Fidge2872 Forumite
19 posts
edited 30 November -1 at 1:00AM in Debt-Free Wannabe
Hello,
I have been in touch with payplan in the past few months & they have given me a solution of an IVA which I haven’t taken as yet as I am really hesitant to go through with it, don’t know why, just something is telling me not to do it! The other option I am considering is a joint loan with my partner to consolidate the debts but chances seem pretty slim as he is trying to build his credit history & the debts (we owe but in my name) add up to more than what my yearly salary is. My partner is self employed. We have a mortgage together.
I have heard good & bad things about an IVA, I know it is on my file for 5-6 years but how does it affect things when we come to renew our mortgage in 4-5 years time? What affect will it have on my partner as he is linked to me? Any advice on an IVA or any other solutions is very welcome & appreciated, just don’t know what to do
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Replies

  • Fidge2872Fidge2872 Forumite
    19 posts
    I pay all my bills & debts monthly & never pay late, I only get paid £890 a month & at least £600 of that pays the debts
  • Willing2LearnWilling2Learn Forumite
    6.3K posts
    Seventh Anniversary 1,000 Posts Name Dropper Photogenic
    ✭✭✭✭
    Fidge2872 wrote: »
    … I have been in touch with payplan in the past few months & they have given me a solution of an IVA which I haven’t taken as yet as I am really hesitant to go through with it, don’t know why, just something is telling me not to do it! The other option I am considering is a joint loan with my partner to consolidate the debts but chances seem pretty slim as he is trying to build his credit history & the debts (we owe but in my name) add up to more than what my yearly salary is. My partner is self employed. We have a mortgage together.
    I have heard good & bad things about an IVA, I know it is on my file for 5-6 years but how does it affect things when we come to renew our mortgage in 4-5 years time? What affect will it have on my partner as he is linked to me? Any advice on an IVA or any other solutions is very welcome & appreciated, just don’t know what to do
    I and others have already commented on your other thread on the subject of a consolidation loan, so hopefully you will not be going down that road.

    As far as advice on an IVA or other debt solutions. We really need to see your Statement of Affairs (SOA) if you want quality advice, guidance and support. The link is below. If you do decide to post your SOA, then please remember to click on the 'Format for MSE' button near the bottom of the form. Thanks :)

    http://www.stoozing.com/calculator/soa.php
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    :smiley:
  • Fidge2872Fidge2872 Forumite
    19 posts
    I will go through the SOA tonight & post it as soon as I can. Thank you for replying
  • Fidge2872Fidge2872 Forumite
    19 posts
    With the SOA, do I include my partners bills (phone, etc), van, debts, etc?
  • Willing2LearnWilling2Learn Forumite
    6.3K posts
    Seventh Anniversary 1,000 Posts Name Dropper Photogenic
    ✭✭✭✭
    Are you sharing bills 50/50?
    Are you going to share responsibility for both of your debts and move forward together?
    I work within the voluntary sector, supporting vulnerable people to rebuild their lives.

    I love my job

    :smiley:
  • Fidge2872Fidge2872 Forumite
    19 posts
    We don’t share the bills 50/50 at the moment even though we use to, my partner pays almost everything as I am paying the majority of my wage out to debt. He pays the money into our joint account & I make sure all is paid
  • sourcratessourcrates Forumite, Board Guide
    20.2K posts
    Tenth Anniversary 10,000 Posts Name Dropper Photogenic
    ✭✭✭✭✭
    Hi,


    You havent told us how much debt you have, that is the first thing we need to know to determine weather an IVA is suitable or not.

    IVA`s were initially designed for people with a lot of debt, but who also had assets to protect, such as a house.

    If you owe 25 grand or more, then an IVA may work for you, under that a debt mangement plan may be better, it all depands on the figues and your circumstances.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File and Ratings, Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to:
    [email protected].
    Any views expressed are mine and not the official line of MoneySavingExpert.com.
    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
  • Fidge2872Fidge2872 Forumite
    19 posts
    Should I include my partners figures on the SOA or not?
  • Fidge2872Fidge2872 Forumite
    19 posts
    The debt in my name (although caused by both of us) is £20,380.47
  • edited 25 May 2019 at 12:04PM
    sourcratessourcrates Forumite, Board Guide
    20.2K posts
    Tenth Anniversary 10,000 Posts Name Dropper Photogenic
    ✭✭✭✭✭
    edited 25 May 2019 at 12:04PM
    Fidge2872 wrote: »
    The debt in my name (although caused by both of us) is £20,380.47


    Although there is no minimum or maximum level of debt for an IVA, due to the fee`s that are charged, and the length of time the arrangement runs for, simply put, the more debt you have, the better, sounds silly i know, but if you have say 100k of debt, but your budget only allows you to make payments over 5/6 years, that will only clear 40k, plus fee`s, the remainder is written off.

    Like wise in your situation, if your budget shows you can clear the full 20k plus fee`s over the period, you will pay back the full amount, but if it shows you can only pay back half, you only pay half, and the rest is written off.

    Its all down to your budget and disposable income, now my IVA, from what i recall, only wanted my individual budget, but as you are a couple, they may want to see a household budget, best to ask on National Debtline live chat, or maybe stepchange, they will be able to clarify this for you.
    I'm a Board Guide on the Debt-Free Wannabe, Credit File and Ratings, Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to:
    [email protected].
    Any views expressed are mine and not the official line of MoneySavingExpert.com.
    For free debt advice, contact either : Stepchange, National Debtline, CitizensAdviceBureaux.
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