Hi my wife and I have been struggling financially for quite some time now, however we have now decided to look at the possibility of taking out an IVA. Much of our debt was accrued when I was in a much better paying job approx 4 years ago and it has just steadily built. What we wish to know is whether the fact that I am now not earinging anywhere near what I was will cause concern with our creditors (should I have informed them when circumstances changed) and also whether we can get an IVA jointly as much of our debt has been taken out in joint names.
Doesn't matter that your earnings have changed, it won't make any difference to your creditors.
Is your wife working? If so, then an interlocking IVA could be an option (one payment going out for both of you), otherwise she would still be liable for maintaining the payments on the joint account.
I would seek some expert advice though - visit www.iva.com for a list of companies and reviews and give one or two a ring. You will receive free and impartial advice as to all the options open to you.
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
Hi
Welcome from me too. The hardest step is acknowledging that you need help and would endorse all that Jan says. Any of the IP's will give you free non judgemental advice so would encourage you to pick up that phone, after all you have nothing to loose and after couple of calls will know exactly what your options are
Hello and welcome. Yes, interlocking IVA's are the best option, but do speak to a few IPs first. The fact that your income has dropped would not concern creditors while payments are being maintained on the loans, however, it will form part of your explanation as to how the debts became unmanageable.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Hi welcome from me too, my hubby and I have interlocking IVAs which were accepted a month ago, we had debts in sep names and joint names and it all got sorted (thats what the IP does). It didn't matter that our money had gone up and down over the years, the main fact was that we couldn't pay them now.
It all comes down to how much you have got now, esp if interlocking. My wage is a fluctuating wage as its supply work, but hubby's is a set monthly figure. Make a list of everything you normlly pay out for, insurance, mortgage, fuel, utilities, phones, housekeeping, clothing etc., then look at how much you have coming in now including any child benefits/tax etc and the bit left is your Disposable Income and this is what the IP will look to using, however its more in depth than that really, I've just written out the quick version, it really is worth looking at the link above and giving someone a ring. If nothing else it will put your minds at rest.
For the three months our IVA was being sorted and put through we never made a payment to any of our creditors, we built it up as a contingency with a few pay outs for breakdowns and all our creditors either voted yes or didn't vote at all.
The very fact that you are having to now look at insolvency proceedings has arisen due to the reduction in your earnings, and therefore it is important that creditors know this. The IP you choose to represent you will convey this in the IVA proposal they will write for you to present to your creditors.
So long as you have some disposable income, and a real desire to see creditors repaid over a realistic timescale, and IVA ought to work fine for you - but do make sure you consider all of the solutions and take time to make the right decision after receiving professional advice.
