I have recently discovered that my wife has 3 credit cards and a loan with a total debt of £25,000. I pay for all of the costs of living including morgage utility bills etc. If my wife applies for an IVA will I be effected and will they take my money into consideration?
Is your wife currently able to maintain her payments to these debts?
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Does your wife have an interest in any shared property? If you have a mortgage together, she may be required to release equity via a remortgage. Otherwise it shouldn't affect you, although your wife won't be able to afford many luxury items, or help fund family holidays.
If she speaks to an IP and decides that an IVA is the way to go, be very careful when you check that her income and expenditure looks affordable.
If your wife applies for an IVA all of the domestic income and expenditure is taken into account. However, her creditors cannot demand your money but they would want to see that each party pays a fair share of the outgoings.
If your wife does decide to propose an IVA you should consider independent legal advice to protect your own position especially as there is a property involved.
My wife works part time and we do have a morgage which she doesnt pay anything towards but her name is on the morgage. I havent had the house valued in a while but since we bought the property in 2004 we have since borrowed £20,000 against the equity to pay her last lot of debts off. I simply cant afford to remorgage to pay off the new debts.
I agree with Melanie that an IVA does seem an option. Given that your wife has used equity for debt clearance in the past could reduce her equitable claim so be sure to point this out to your chosen IP and provide as much back up as possible.