I am getting more worried by the day

[epx]

Hi, my housemate lost his job approx 6 months ago and has not worked since. Because he is very lazy and a liar, I have only just found out that he has not paid rent & council tax for those 6 months, our contract on the flat runs out on 1st June and I plan to move out!

He is seriously considering an IVA as he has been advised that he will still be liable for the approx £3000 unpaid rent. However, I have read that even if he gets the IVA the creditor (ie. the landlord) can choose to go after the other joint tenant to reclaim the money ie. me.

I am very annoyed that he has allowed this situation to affect me, I have paid my share of the rent on time via standing order for the life of the tenancy! To what extent am I potentially liable for his debt?

From what research I have done I fear that I am indeed liable for the unpaid rent & council tax (but obviously not his credit card debts etc). Am I correct? If so what can I do about it fast!

How could this affect my credit record? I am currently thinking of buying a house in the next 2 years. If there anything I can do to protect myself? I do not have £3000 and so would not be able to pay the arrears.

He also said that an IVA takes 2 weeks to set up, although I read more like 60 days, is he misleading me?

Any advice greatfully received as I am getting more worried where I stand by the day! Thanks.

[Sadsack]

Hi epx

You don't mention whether your name is on the tenancy agreement. If it is then I am afraid that the Landlord has the right to challenge you for the money. If it is not, then you do not have a problem and I suggest you move out now!!!!

Who needs enemies when you have friends like this one!!!????

Hope this helps
Sue

[tracy.h]

Hi epx,sounds like a good mate.if you pay by standing order is this not proof that you have paid in your share every month,and as for it taking two wks to set up an iva,more like 6-8 wks,would love to no where he gets hes information from.
Good luck hope this will not effect your future chances of purchasing your own home.

[sps]

Hi epx
An expert will come along soon to offer advice on your problem but as for an IVA taking only 2 weeks to set up usually its more like a couple of months depending on how straightforward the case is. Also the creditors have to have at least 2 weeks to consider the proposal before the meeting. Wishing you the best of luck
Sue

[Adam Davies]

Hi epx
I think you need to take professional advice about this situation.The fact that you have paid via standing order[into his account I presume]will help your situation.
Even if he can get an IVA agreed it would be unlikely that the rent arrears would be included in this.
Finally rent arrears or council tax arrears will only affect your credit rating if a Conty court judgement has been made against your name,even then there are many mortgage providers that will be able to help you,as long as you have a deposit of at least 10%
Regards


Andy Davie
IVA.co.uk Spokesperson and site manager
(aka Neverending)

Please check out my blog: http://andydavie.blogs.iva.co.uk

View my profile here:
http://www.iva.co.uk/andy_davie_profile.asp