My parents are getting divorced but there is an IVA to take care of. My father is more than happy to take the debt on himself. clearing mums name. He has paid the IVA since it began as being the only working party. We have been informed that it is not possible to take a person's name off the iva. Is this true? If not my father would be forced into selling his house to pay the debts off. He has cancer so you can understand how concerned I am. Mother lives elsewhere but whats her name cleared of debts. Please can you advise? Most grateful
There would be no need for your mother's IVA to conclude, if your father is going to be continuing to make payments. Why would your father be forced to sell his house to pay off debts, which are already getting serviced via the IVA? Perhaps there is an equity release provision over this property during the final year of the IVA? If so is there any equity in the property?
i am aware of an equity release at the final stage of the IVA. If the house is remortgaged. As far as equity goes i believe it is £15,010. At a hearing I was informed that, as my mother wishes her name to be cleared, the quickest way to do this as quote 'you cannot take her name off the IVA. It doesnt work that way' unquote, would be to sell the house as its the only assett they have.
How would he go about having her name removed so the IVA is solely in his name? if this is indeed possible.
If your father is willing and able to carry on with the IVA, and presumably mortgage payments, then I don't see why the house should be sold.
I would think that he would be able to try for the remortgage in the 4th year as normal.
As some of the debts are obviously your mothers, she will have to remain in the IVA, otherwise she can let it fail, but she will be back to square one with the creditors.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
I will forward the information on to my father. Hopefully it will help. He only has 3 years to go but due to the divorce its complicated things. Yes some of the debts are hers but he is willing to take sole responsibility for them.
Is it worth me contacting the IVA people - debt free direct?
I have his permission in writing to discuss these matters or should i go through the courts for power of attorney?
Your mother simply cannot have her "name removed" from her IVA. The only way to do this would for the arrangement to be successfully concluded, or failed. I think it would be a good idea to chat to the IP directly on these points.
As Melanie says, we're here for support and advice whenever you need any.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
