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Posted: Thu Jan 29, 2015 8:21 pm
by Adam.01
Hi.
I recently took out an iva. I have entered into a new relationship and she has nothing to do with my current debts.The plan is for her to move into my house and split house hold bills and have a joint account for this.
My concern is how much my iva payments would go up by doing this and affecting my partners finances at the same time .
Posted: Thu Jan 29, 2015 11:37 pm
by hubert
Hi Adam.
Honestly, I recommend not getting a joint account. It will financially link you and that's probably not a great idea at this time.
Also, if she moves in the IVA company will expect her to pay a percentage of the bills based on her salary compared to yours.
But she does NOT have to disclose her salary or anything else at all, it's your IVA not hers. They have no claim or authority over her even if she moves in.
However, if they don't know what her salary is they may assume she will pay 50% of the bills rather than a percentage based on your 2 salaries compared.
If she earns more than you then that's no bad thing. If she earns less then you might be better of disclosing her salary.
Even if things change and you pay more into the IVA it must be just as affordable as it is now. If it isn't something is wrong. It is meant to be comfortably affordable.
Also, if your surplus income goes up above the original figure at the start of the IVA, you only have to pay 50% of that extra in. So if you find yourself £300 per month better off, you keep £150 of it.
(Check your T&Cs to confirm this).
Good luck and make each move a carefully considered one
Posted: Fri Jan 30, 2015 9:25 am
by Michael Peoples
You could treat your new partner as a lodger and declare this. She could then pay anything up to £354 per month without this impacting on your tax. You can then declare the extra income and as Hubert says you would only be liable to pay a maximum of half.
Posted: Fri Jan 30, 2015 10:42 am
by SUC
I'm sure I am not alone in thinking this, but why declare it at all. I know morally the correct thing to do is to declare it, but how would your IP find out. Before anyone jumps up and down on me I am not condoning it just merely asking a question
Posted: Sun Feb 01, 2015 1:53 pm
by thisusernameistaken
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by SUC
I'm sure I am not alone in thinking this, but why declare it at all. I know morally the correct thing to do is to declare it, but how would your IP find out. Before anyone jumps up and down on me I am not condoning it just merely asking a question
Because if it were to come to light, it could cause the IVA to fail. Presumably OP's new partner will want to be on the electoral register etc so it's easy to confirm who lives at an address.
Most of us also started our IVAs in order to 'do the right thing' and aren't here to 'play the system'. I want to pay back as much as I can within the agreement between me and my creditors.