www.iva.co.uk

Hi
I have a joint mortgage with my wife. She has just informed me that she has debts from a previous relationship and she has been struggling to service the debt. She has had some advice to consider going for IVA. Since the mortgage is in joint names will have any effect on it. If so - could you tell what the implications are. Should I consider transferring the mortage to my name only. I will appreciate any advice that you can give.

Hi aka_carrot,

As the Mortgage is in joint names then her half of any potential equity would be looked at in year 5 of the IVA.

You could not transfer to your name as it would be classed as Disposing of an Asset by your wife and they can check back up to 5 years.

You would not be able to change the mortgage because there is negative equity and no mortgage company would give you a deal on your own. You could offer some token payment to her creditors in lieu of her non existant equity or you could allow her to go bankrupt now rather than having to agree to raise equity in 54 months time.

It is worth getting some advice.