Urgent advice needed re poss IVA

[katie005]

Hi everyone..this is the first time I have posted on anything ,anywhere but after reading your forums and finally working out how to post (well I hope I have!) I would very much appreciate some urgent advice and if i am honest ,support.

I will try and keep this as brief as possible...I am married with 2 children aged 9 and 6 and my husband works full time earning 27k a year. I am self employed and earn approx 3,700k per year petsitting. Before i had my children I ran up debts after my husband was made redundant and then I became pregnant and was signed off work at 10wks pregnancy due to pregnancy related condition. I had credit card debts but thought I was protected by insurance...wrong. So I started life as a mum with debts that we have struggled to manage ever since but we have just about got by. Fast forward to today and after another sleepless night I am posting. a friend has suggested that I apply for an IVA. Most of the debts are just in my name but there are two debts that are in joint names. one is our old halifax account which after going overdrawn by £90 ended up at £5000 overdrawn purely due to fees and one debt that is owned by asset link financial...a really nasty company that insisted they take a tomlin order out against us for just over £5000 debt. I also owe £1000 to the inland revenue due to my misunderstanding advice at the local IR office but this has been subject to a payment plan to pay it off.My debts could go over 25k...i say could because and this is the final straw i found out yesterday that the tax credits office have stopped my tax credits saying they have grossly overpaid me but I am hopeful that I can fight this successfully. I am continuing to look for better paid PAYE work to get more income in but it is very difficult out there.My question to anyone out there is

1) If after i speak to National Debtline or someone today (impossible to get through) they advise that an iva might be best can I apply for an IVA in my own name without my husband having to do it too? I am worried about the two joint debts .

 

It is worth adding that we are in a shared ownership property that has always been just in my husbands name. We really want and need to hang onto our home but also my husbands job could be badly affected if he had an IVA. I tried to look up details on various websites yesterday re joint debts and IVAs but could not find anything. Please ,if anyone can offer any help or advice I would be very,very grateful. Thank you

[Crocdoc]

I am based in Scotland and normally very reluctant to comment on matters in English Jurisdiction. However having read your post it would seem to me that bankruptcy may be in your best interest taking into consideration that you do not own property. As for the two joint debts they would automatically become your husbands responsibilty. Nevertheless, if you are in a position to meet the mortgage payments and the two non-priority debts, I can see no reason why you cannott keep the family home in such a senario.

 

We do not have IVA's in Scotland but we do have similar albeit not identical system called Trust Deed, which lasts for three years and in my opinion the only people who benefit are the Insovency practitioners.

 

Perhaps someone with more knowledge of English procedures may wish to comment on this.

[katie005]

Thank you so much Crocdoc for taking the trouble to post (it's all new to me!). Bankruptcy seems so scary and I am just frightened that they would try and pursue my husband to sell our home. I will have a look around the website to find out some details about bankruptcy now. Have to say that it makes me feel just a little better to know that I am not the only one. It is so hard to keep smiling for your children when you are frightened all day every day so i thank you again for posting

[Dodgy Geezer]

Hi Katie.

 

Nobody can pursue your husband or take away his house for your debts.

 

Arrange to see a local insolvency practioner ASAP.

They will go through all your options with you. It should be free if they think that they can get a IVA out of you, but you dont have to use them at the end of the day.

[katie005]

Very many thanks! I will look up my local practice number. But do you know is it right that joint debts are assigned to him in the event of my going bankrupt? Sorry this is just such a nightmare

[sequenci]

Thank you so much Crocdoc for taking the trouble to post (it's all new to me!). Bankruptcy seems so scary and I am just frightened that they would try and pursue my husband to sell our home.

 

How long have you had the property.

 

Have you ever contributed to the purchase of the property or the household bills?

 

Is there equity.

 

You can get through if you hold, the wait times are usually 10-15 mins. The best time to call would be at about 4.30 now.

 

You could always try and call bang on 9.30 tomorrow if you have no luck today.

 

For the record based upon what you've stated I think an IVA is an unlikely option. Let me know how you get on with NDL.

 

Best wishes,

 

Seq.

[katie005]

Hi...until recently we had a joint bank account so joint names have been on my name is on some bills like the gas and elec and council tax. It is shared ownership and was bought in 1993 before we were married but I have lived there since we were married in 1995

[katie005]

oh and at the moment there is equity but my husbands share is only25% . we did try and think about using the equity to buy the house outright a couple of years ago but on paper (our joint income is about £33k) no one would help

[katie005]

Many thanks Seq...I really appreciate it. Have been trying to call all day...but will keep on trying!

[sequenci]

Many thanks Seq...I really appreciate it. Have been trying to call all day...but will keep on trying!

 

What happens? Do you get a recorded message?

 

You may want to try 1st thing tomorrow? (9.30)

[katie005]

Yes they must be very busy! Thank you so much for asking.I have to say that I have felt terrible...so stressed out and couldn't see a way forward but just being able to get on here today and find out more and have the benefit of the experiences of others has made me pull myself together (well..a bit). I have phoned the council tax people,two really horrible debt companies and the county court for advice on tomlin orders and managed to pick some brains there which has been a help. To be honest if it meant that I could sleep well I might choose the bankruptcy option before it chooses me but i do really want to pay my debts. I just want to find a way through it all. Thank you again...I will try phoning again 1st thing tomorrow.