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I was accepted for an IVA in January and one creditors was Barclays as a result of an overdraft on a joint account.

Subsequently according to the documetation received from GT the full amount of the overdraft was accepted by Barclays at the creditors meeting.

Last week a company called credit solutions Ltd (CSL) started to pursue my wife for the full amount. My wife was not included in the IVA as I wanted to keep her out of a situation which was my fault although our joint finances were taken into full consideration.

I have spoken CSL twice about the matter but they are rude, arrogant, disrespectful and are simply not interested in anything other than trying to collect money.

In fairness GT did mention that this might happen but I simply do not understand how Barclays can accept the IVA proposal and then pass the debt on effectively attempting to get paid twice.

The inclusion of the debt to Barclays in the IVA obviously affects the amount the other creditors are due to receive and GT's slice.

Can someone please explain how this can happen and offer some advice on what to do.

Is it too late to include my wife on the IVA or would she have to apply for one inher own name?

Peter - welcome to the forum - joint overdrafts mean both parties are liable for the full overdraft - your protected by the IVA - however it is likely your wife will be persued for the full amount - perhaps she needs to speak to the bank and come to an arrangement

Hi and welcome

Unfortunately your wife will be pursued for the whole amount at it was a joint debt and you are both liable for the full amount.

Your wife can try and come to an arrangement with Barclays to make minimal payments if she cannot afford to do anything else.

Your payments will be taken off the amount and, once the IVA is completed, the amount owed will obviously be less.

What other debts does your wife have? She would have to apply for one on her own if she qualifies.

font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by Peter.w


In fairness GT did mention that this might happen

There should have been no *might* about it, as others have said it is a joint debt and the IVA only protects you.

If one person defaults on a joint debt then the other party becomes liable for the full amount of the debt.

It should really have been made very clear to you at the outset of the IVA that this *would* happen.

Hi, I had a joint overdraft with my husband on a LLoyds account. My husband has gone into an IVA, and LLoyds accepted the full amount into the IVA... Lloyds have been really good and not pursude me for any of the funds onve i explained this to them... they apologised for calling me - since then, they have closed that account.... so maybe its just barclays being a pain!!

norabee - sounds as if you have been lucky !!! - there has been quite a few posters on here with this issue, and normally a payment outside the IVA to the bank - is accounted for in the house hold expenses (if not a interlinked IVA)

Agree with ginger - you're lucky if they've not pursued the debt.

Let sleeping dogs lie I think!

Thanks all but I still do not comprehend why Barlclay's would agree at the creditors meeting to accept the full amount in the IVA if they know their is someone else they can go after. If they did not accept or accepted half the debt that would make sense but why agree and then renage.

They accept your part in the debt and they will go after the joint debtor. You won't be paying off all of the debt in the IVA, just a portion of it and your wife will have to meet the rest.

You are both jointly liable for the debt - there is no 50/50 with joint debts.

Barclays accepted your liability for the debt; your wife has her own liability. The way it usually works is that your payments chip away at the Total amount owed while your wife makes ongoing payments. They will only be paid once as at some point your contributions and your wife's payments will wipe out the debt in full.

Peter just read your post so I maybe too late but my advice would be too put everything in writing to Credit Solutions (However, dont expect any reply in writing!)....DO NOT GIVE THEM YOUR PHONE NUMBER. We used email to communicate with our Debt Collectors for 8/9months and NEVER received one single reply in writing, however, the email proof of our correspondance was there for any future litigation.

If you read my previous posts on this matter "IVA Process Started" you will see the grief and eventual outcome of this matter with a similar Company of Debt Collectors used by Barclays to chase my Wife who was also not in an IVA.

In essance my Wife eventually had to borrow a sum of money and do a full & final with the debt agency to clear her liability. Unfortunatetly this still resulted in a "DEFAULT" on her credit file.

Good luck.

Heres link (page 31 refers) to my previous experience with Debt Collectors.

http://www.iva.co.uk/forum/topic.asp?wh ... 617#414529