Does an IVA affect the partner

[glitter]

Does an IVA affect the partner(whether maried or living togerther)of a person in debt in any way? Would the partner's salary or savings be taken into account or have to be given over to pay off any of the debt?

[aguise]

Hi

A partners salary will be taken into account if you are living together only to the extent of the rent bills etc you would be expected to be paying the percentage into the house in comparison to their wages, eg if you both earn the same then all bills would be 50 50 so on income and expenditure they would be expected to pay half of everything.
Others will be along to correct me if wrong or elaborate a bit more. Hope that helps a bit.

Ang

[MelanieGiles]

Hi glitter and welcome to the forum

Your partner's income will be taken into account in calculating your own disposable income. His savings will not be required to be accounted for.

The reason the income calculation is required, is to ensure that you are paying a fair share of the shared household expenditure. So if your partner earns 2/3 of the overall household income and you earn 1/3, you will be deemed to be responsible for 1/3 of the shared expenditure such as mortgage/rent, council tax, utilities and housekeeping.

In my experience it is unlikely that he will need to contribute any of his money to your IVA, but that depends upon the dividend you are able to offer to your creditors and how co-operative your partner wants to be. Remember the higher the offer you are making, the more chance you have of creditors accepting.

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