Posted on here a few months ago but nothing really has changed and I now feel i need to get on with things and finally sort out our debt problems.
To quickly summerise, We own a house worth approx £230K with a current mortgage of about £186K. This will drop to £175K next July when the early termination penalties finish though the mortgage will continue to be interest only.
In addition, we owe approx £117K of unsecured debt.
Overall then we are about £60K insolvent if we were to sell up.
Would a F&F IVA be possible?
My wife is salaried and comes home with about £2K per month net. I'm Self employed and things have been difficult of late. Monthly earnings can be anywhere from £500 to £3000 depending on the amount and quality of the work I have.
Now I understand we could do a 'regular' IVA over 5 or 6 years but I have a couple of issues with this. Firstly it will be very difficult to plan with my variable income, (ie what if I have 4 or 5 £500 per months in a row, or what if I have a great year, have my payment increased, and then have a rubbish year?). My other issue with it is that I feel it would be somewhat soul destroying for someone who is trying to run a business and would take away the incentive to earn - does that make any sense? I don't mean that in a lazy or arrogant way, just why would I work 14+ hours per day to have the extra I earn taken away?
Oops, I know I've gone on a bit there and this post isn't very well formatted, but it's all just kind of gushed out of me and hopefully someone can wade though it and give me some pointers?
Actually - just spotted you are tihnking of selling up ! Sorry for not spotting that bit! I think it would be worth you talking things through in more detail with one of two of the companies on here - they are also reviewed on www.iva.com if you want to look at what others have said.
It sounds possible from what you have said but obviously we would need to look at it in full to make sure it would be viable.
Regards, Tina Shortland, Debt Advisory Manager for Melanie Giles at Debt Advice TV.
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