is my home at risk if i go for an iva route ?

[ejc]

is my home at risk if i go for an iva route to sort out debts.
also, could i pay token payments onto my debts whilst i am in the process of doing the iva?

[kallis3]

Hi ejc and welcome to the forum.

How much equity do you have in the house? You will probably find that you would just be expected to release some of this later on in an IVA.

You need to speak to an Insolvency Practitioner. There are several who post on here, but Melanie Giles comes highly recommended.

As for payments, as soon as you and an IP decide that an IVA is right for you, you should stop payments.

Can I ask what your total debt is and what your disposable income is after your priority bills have been paid?

[MelanieGiles]

Hi ejc and welcome to the forum

It would be wrong for me to say that your house is not at risk when you have unaffordable debts, but an IVA seeks to protect your house from the claims of creditors although you may be required to raise some equity from it during the final year, depending upon its value at that time.

Whether you make token payments or not in the weeks leading up to the presentation of an IVA makes little difference, but it might stop some of the phone calls and chaser letters in the meantime.