Hi, my wife and I are currently trying to decide the best way forward to manage our debts, in particular the ones in her maiden names. The situation is this, my wife has unsecured debts of circa £27k with 5 companies and I have circa £20k with my bacnk. We were able to pay these off and had plans to redeuce them over the next 3 years, however last year my wife got made redundant just after the birth of our 1st child. We managed to reduce payments to minimum and continue paying off the debts, this was helped by her redunancy pay, which ran out in Jan 10. In May this year my wife whent back to work, but this was part time and only temporary, the contract finishes in April. Both our salaries combine (£3100 per month) does not allow us to pay our debts (£1400 per month) and and our living expenses (£2400 per month), we are short £700 per month. We need advice on the best course of action, preferably one that leaves my credit rating and salary in tack. Is the best option to apply for an IVA or Bankruptcy for my wife? How will either affect my salary and credit rating? What are the options for a married couple.
I think that you need to take more specific advice from an insolvency practitioner directly, with regard to your options. On the face of it, an IVA, DMP or bankruptcy would probably all work, but your wife would need to be sure that she would get her contract renewed or find another job in April when her fixed period expires to provide certaintly in being able to meet ongoing repayments.
It definately seems time to be getting some specific advice, which will no commit you to anything but provides you with various options to consider.
Hi there and welcome to the forum as Melanie suggests why not take some advice from a professional. If you want why not take a look at www.iva.com for a list of companies and some reviews of these, all our professionals who post on the forum also come highly recommended and it's advisable to contact 2 or 3 companies to ensure that all important impartial, free, case specific advice. x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
If you are the bigger earner it is possible that you may not be insolvent and could manage to repay your own debts. Each case is looked at on an individual basis and a bankruptcy or IVA for your wife may be the best option and you would remain relatively unaffected.