I am sick with worry I owe 31,000

[bontom]

I owe 31,000. my husband didn't know about my situation until recently. we have been on to a few companys. one company recommened a dmp and another recommened a iva. I am going to go for the iva. The only problem is my husband owns the house and the morgage is in his name and he pays all the bills. when i first contacted the iva company they only asked for my income and details. I only earn £560 a month and get £280 in benfits.Know the company are asking for my husband income and what he pay out. why would they being asking for this as it as nothiong to do with him and the debts are mine.my outgings are £400 a month do you think i will get the iva I am sick with worry. Thankyou

[MelanieGiles]

Hi bontom and welcome to the forum

Your IP company are asking for details of your husband's income, to ensure that he pays a fair share of the household bills based upon his income compared to the aggregate household income.

For instance if your husband earns £2,000 and you earn £840 - as he earns 70% of the income, he should be paying that share of the expenditure. Therefore against your share of the income - £840 (30%) you should be paying 30% of the combined household expenditure.

You will eb eligible for an IVA, providing you can demonstrate that you pay a fair share to the household bills and can sustain a regular monthly contribution.

If you have any doubts, seek a second opinion on the advice you have already been given.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[freelili]

Hi and welcome

I cannot answer your specific questions I am sure one of the experts will come forward and help you with this, I am not an expert, just another person in debt and I wanted to say please do not worry, there will be answer for you somewhere.

Will you have your husbands support? as from what I understand you do not have enough disposible income to enter an IVA. Although the debts are in your name, his contribution of the bills etc will need to be taken into account, the IVA would be in your name. Do you have proof that the house is his only?

You are not alone and there is support on here for you, are you able to post any further details?

LILY

[bontom]

Hi
Thankyou for your replys. Yes I can prove the house his my husbands the morgage his in his name.

[freelili]

Hello again

Have all of the options been explained fully to you, although you mignt not have enough disposable income for an IVA, would hubby be able to help you with this?

Would it be a likely option for him to release enough equity for you to attempt a lump sum, either to your creditors or an IVA?

I wouldnt recomend a DMP as I owe a similar amount and am in a temp DMP but it would take ages to pay off and they dont always suspend the interest.

One other option that you may have is bankruptcy, if you have no assets of your own and the debts are in your name only it might be the best option for you.

I really hope this helps, if you need support through this or have any more questions we are here to help you. It is a very stressful time for you and you are not alone.

Good luck for now

LILY

[ivamole]

It sounds as though you already have the security of a home without the liability of a mortgage. It also sounds as though you have no assets and if you're already in receipt of benefits it seems difficult to see how you could realistically propose payments to your creditors through an IVA.

I think I'm right in saying that many of the IVA factories won't even consider arrangements with payments of less than £200 per month. There's not enough profit in it or them. But it sounds as though you would need to find IVA payments (dependent on the settlement) of anything between £250 and £350 per month.

Can you really afford that level of payments every month for five years without fail ? If you have any doubts then I agree with Lily that bankruptcy might well be your best option.

I would take independent advice from a charity like CCCS who do not have a vested interest in earning fees. They have a web site. Simply google search 'CCCS' for the contact details.

Hope these thoughts are helpful.

[bontom]

Hi
Thankyou all for your replys.What I mean is I get £560 amonths wages because I only work part time because I have 2 small children and I get £167 disability allowence for my son and £116 child benfit when I done A budget plan the cccs recommended I have £400 amonth to live on and that left me with just over £400 a month the cccs recommended i go onto a dmp and that I send them the £400 to spilt between my creditors. which would take 6 and a half years to pay.I also phoned the uk solvency helpine and they told me to go for a iva they have put me in contact with deptmatters plc. Even those my husband as the morgage in his name only. I have never paid towards it because of the children and I am not on the morgage. I hope I have explained myself better and am very grateful for the advice you are all given me. But I don't know what to do for the best I have never missed any payment so far and I don't know if to try and carry on paying the full amount. I don't want to put pressure on my poor husband as this is all my fought. and it is putting a strain on our marrige I just want to sort this matter out and try and get on with the rest of my life. I would be very gratful for any advise on the best way to deal with this.
Thankyou.

[freelili]

Hello again

I would not advise a DMP as six and a half years is a very long time indeed on a budget and things can change in a day with a disabled child let alone years. I know this because I have disabled kids and hospital stays etc are costly. My debts were mainly incurred because I had to move house due to my kids 'troubles'. How stressful would it be for you with this hanging around for that time?

Bankruptcy would seem the best option, however, I am concerned that the OR may consider that you have a vested interest in your husbands house. How long have you been married? Has your name been recently removed? It is difficult to advise without knowing these facts.

On the fault front, please do not worry, we are all in the same boat here and could spend the rest of our lives beating ourselves up about it. There are a variety of reasons 'why' it really does not matter now. You are trying to address the problem and that is what is important now. We would all turn the clock back if we could. Look to the future, hold your head up and work towards a new life on the other side of debt.

I know how stressful this is for you but there will be a way forward. You are not alone in this, feel free to ask rant or cry we will listen.

I am not an expert, just another person in debt, What I am saying is only my opinion and I hope it helps.



LILY

[bontom]

Hi Lily
I have been with my husband for 22years but we only married 6 years ago and my name is not on the morgage. Thankyou for the advise and it is nice to know I am not the only person with this problem.