www.iva.co.uk

hi,

I'm in an IVA, and my partner was due to start a DMP. Just recently her eldest child, for whom she was claiming DLA and Carers allowance, decided he no longer wanted to live with us.

Before this we could afford to repay the IVA and DMP as setup. Now though, our household income has dropped by over £600 a month. We also have to consider decreased child tax credits and child benefit. There is also a DLA loading on the child tax credits, that is now lost.

We can barely afford to live now. My partner will and wants to get a job, but wont be able to get a term time only part time job that pays £600 a month. There are not many of those around, short of prostitution.

We have no assets, other than we each have a car. I need mine for work, but it is on secured finance. My partner has a 7-seater that we will need to ferry 4/5 kids around at weekends etc.

If I go bankrupt I will loose my car. If my partner goes bankrupt she could also loose her car. It's worth on a good day maybe £3000 at private sale, but much less at auction.

We're in a desperate situation. We have like 31p of disposable income left after all the bills are paid.

BR seems like the only solution for both of us, but we don't even have the spare cash to pay for bankruptcy.

We both have a spare kidney. Maybe that's an option lol. There really isn't anything else we can do.

Any advice gratefully received.

Regards

CoolConkers

It's a lot to take in! You will need to speak to a debt advisor and www.iva.com is an excellent place to start looking for one, there are also customer reviews. Speak to two or three before making any decisions as you may find you have a gut instinct with one of them. Remember when calculating your expenditure not to include current debt repayments...it is your income minus bills that determines how much is available to repay debts. Good luck to you and the missus and keep posting x

Good advice.

Dependent upon how much your car is worth, you may not lose it. Even if you had to sell it, you would be allowed to buy one of a lesser value.

Bankruptcy would seem to be the best option for you, unless you can find some way of replacing your lost income. Have you discussed your predicament with your IP, and would a temporary payment break for up to 12 months assist?

I really think you should talk to your IP as Mel suggests.

Personally, I'd consider a payment break to hope that your situation improves, as in bankruptcy you will almost certainly lose the car you are currently paying finance on, which you say you need for work.

If that payment break wouldn't help, though, you should seriously talk about bankruptcy with your IP.

How long have you been in the IVA for? Have you been keeping up to date with payments (until recently)?

A teaching assistant post would fit in with school & earn you 600 pounds a month easily. Given that you no longer have the expense of your disabled child being with you the actual lost income might be less tan that, ie your carers allowance & you could maybe cover that by getting a dinnerladies job? Don't give up though.

wrong time of the year for the other option you mentioned.