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Posted: Wed Jan 09, 2008 3:51 pm
by marks2
As my debt is my own personal liability will my wife's income be taken in to consideration when evaluating the repayment of my debt? Thanks
Posted: Wed Jan 09, 2008 3:53 pm
by andymac
As far as I understand it, they will take account of how much she contributes to the household outgoings per month.
Posted: Wed Jan 09, 2008 4:27 pm
by james.c
Does this take this for example
I earn 70% of the household income and my wife/partner earns the other 30%, does that mean for I and E i can only pay 70% towards household, bills, morgage/rent and council tax - is this correct?
no matter how bad money gets, theirs stll alot more important things in life
Posted: Wed Jan 09, 2008 4:30 pm
by cr15py
That's the way I understand it James, that's what my IP advised me to do.
I believe it's that way or a 50/50 split.
Posted: Wed Jan 09, 2008 5:11 pm
by Adam Davies
Hi
Some creditors will want to see the whole of the joint income taken less the whole of the expenditure and then use that for disposible income purposes.They will however allow an allowance for the non IVA partner to service his/her debts
Regards
Andy Davie
IVA.co.uk Spokesperson and Website Manager
About me:
http://www.iva.co.uk/andy_davie_profile.asp
IVA Helpline: 0800 197 4838
http://www.iva.co.uk/iva_helpline.asp
Posted: Wed Jan 09, 2008 5:12 pm
by pbeck
Normally when I do an IVA proposal I will show the entire household budget with both sets of incomes and all expenditure together, what is left over would then be divided in the proportion by which each partner brings money into the household.
In this case you earn 70% of the household income, thus 70% of whatever's left over after essential expenses will go into your IVA, and the other 30% she gets to keep for whatever she chooses.
Philip Beck
Licensed Insolvency Practitioner and IVA specialist
Posted: Wed Jan 09, 2008 8:08 pm
by MelanieGiles
This is normal practice, but more and more creditors are demanding the non-insolvent partners disposable income as well on the basis that they beleive that person has benefitted from the debts as well. And most of the time it is needed in any case to achieve hurdle rates.
Regards, Melanie Giles, Insolvency Practitioner for over 20 years.
To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp
See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp