Legal issue

[baz36]

Hi,when i was married got a personal loan, in my name but it also had my husbands name on!!! when loan was taken out it was for home improvments (house sold now) when we got the money husband bought (himself) a car!!! the loand was taken out about 5 yrs ago and weve been divorced 2yrs.i have NEVER paid the loan as it was for his car and he has always made the direct debit payments. When went through the divorce the solicitor said it wasnt a problem as long as he carried on paying it.

all of a sudden he has decided to stop paying it and they have come stright to me for the money, is there anything legally i can do before i have to add it to my IVA(which i cant afford)

I have not told company iam in IVA, i have just told them my situation and asked them to send me something in writing then i will seek professional advice and get back to them.

any ideas?

[Adam Davies]

Hi Baz
There is no way around this one.
It should have been declared at the time that your IVA was put together[and I do understand why it wasn,t] as the bank is quite within their right to come to you.
Speak with your IP as it is not unusual to have debts missed off,however I guess that this is a fairly large one but as its been paid for five years hopefully its not much now.
Let us now how you get on
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

[baz36]

hi,
yes at the time of IVA proposal i did totally forget about it. I then told my IP a few weeks ago (and they said its not a problem) leave it as it is and just contact them if it became a problem and they could add it to our IVA. How would they do this, i think theres probably about £6000 left to pay? what would they do with the company in question (AA finance) would they tell them im already in IVA and ask them if i can do the same with them (wot if AA finance wont let me do it?

[Adam Davies]

Hi
I think that there is a provision for such events within your IVA and I,m not sure if AA will get a choice.You may have to extend your IVA by a month or two to compensate.
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

[Oliver]

Andy is right this will almost certainly be added to your IVA, although as Andy says you may need to add a few months payments on at the back end to make up the money for this.

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[baz36]

i am going to go to citezens advice and see what they can help with, my ex husband has been paying the loan out of his bank account since 2004 (will this help my case?)

[Oliver]

Unless the loan was taken out fraudulently i.e. you did not know about it or sign for it, I don't think there is much you can do as you will be jointly and severely liable for it.

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[baz36]

its just so annoying, he bought a car with the money, weve been divorced 2 years, hes always paid it......the owing amount is £5800 how much do you think i'll have to pay off that in IVA? what do i do next, just ring my IP and give them the details or is it better off writing to them?
and in the mean time while im doing this how do i get the finance company off my back?
thanks
Jo

[Oliver]

The best thing for you to do Jo is gather all the information on the loan that you have, call your IP and talk this through with them and forward any relevant paperwork you have on this.

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[Adam Davies]

Hi
The debt will be included within the original IVA and they will get the same dividend.Remember they will still pursue your ex husband for the debt even when its included within your IVA.
You need to speak to your IP and inform the AA that you are in a current IVA and give them your IPs details
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

[baz36]

going to ring IP in a min. ive rung AA and asked for copy of my agreement etc.....told them im in a current IVA and they asked why there debt hadnt been included, i explained that i completely forgot about it as husband and i had divorced and he has always paid it>>>

she said i need to see a solicitor!!! as they will be back on my back next week.

Because its a joint loan is he still responsible for half of the remaining debt?

[Oliver]

You don't need to see a solicitor unless you are questioning the leagality of the loan.

Your husband will not be protected by your IVA and he will continue to be responsible for paying at the very least a percentage of the loan.

Best Regards
Oliver

Thomas Charles and Co Ltd.
Experts in personal debt solutions.
Read customer feedback at: www.thomascharles.com/about_us.asp

[MelanieGiles]

Can I ask why your husband has stopped paying the loan? Have you spoken to him about this?

AA will have to be formally invited to join into your IVA by your IP. If they do not agree then they will be able to pursue normal legal action against you, albeit this is unlikely unless you have any assets.

I agree with Ollie - don't waste time and money on a solicitor - your IP is perfectly capable of dealing with this for you and is already being paid!

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[baz36]

hi melanie

he has basically stopped paying out of pure spite....he just wants to cause me as much trouble as he can.

spoke to IP and she said because its over 10% (its £5800) they will have to formally ask them etc and im to write to her stating how much i can afford my contributions to go up by. I asked her how much she thought,but she just said write to us saying was you CAN afford.
really getting stressed now.

i just hope if i can get it included in our IVA that he still gets a certain amount of hassle over it,as its so petty.

aa finance are aware that im in a current IVA with my fiance.

hope they accept.drafting letter now saying we can increase to another £20 per month!