I’m currently in an IVA and thinking about bankruptcy. I am struggling with the monthly payments and now my IVA provider is asking for another £40 per month as part of my annual review. This is going to hurt us as a family, as we have large outgoings, but the IVA provider says we can afford it. Due to my circumstances, I have been advised that going bankrupt might be an option. My only concern is losing my house, car and job. One of the debts is jointly owned and the mortagage is in joint names. However, my ex has not contributed since 2008 and has no interest in the property.
We need to speak with you as we need to know a) whether there is any equity in the property and if you can afford to pay the mortgage every month and b) the value of the car. If there is no equity in the property you will not lose the house in bankruptcy. The Official Receiver will make a note on the Land Registry and review the situation in two year’s time, but in our experience no further action is ever taken. In fact, in the 20 years we have been in the business, we have only ever known of one case where a sale was enforced.
Regarding the car, these may be retained in bankruptcy provided a) you need it for work and b) the value does not exceed £1,000 or close to that figure. Bank accounts are similarly unaffected provided there is no debt with the bank in question. Give us a call and we’ll get it all straightened out for you.
Bankruptcy UK offers bankruptcy help across the board, including dealing with creditors, completing the all-important Income and Expenditure and submitting the application online. ‘I’m In an IVA and thinking about Bankruptcy’ is just one of many issues we deal with daily – Feel free to call us with any other bankruptcy questions or for bankruptcy help on 01425 600129.