www.iva.co.uk

I have debts over £67,000 which are an acumulation of a divorce, redundancy from may years ago. I live with my partner and am considering an IVA. These are my debts and I dont want my partner to be affected by them. If I take out an IVA will their credit rating be affected and how do I produce a statement of expenditure when the costs are shared? Do I record half of all expenditure?

Hello.

Your Partner's credit file will not be effected by your IVA. If you can show that the debts are nothing to do with your partner you may be able to show an income and expenditure report which takes into account your contribution to all shared bills. This will often be based on the percentage of your income in relation to the joint income within the home. However, there are a number of ways in which you can look at completing the income and expenditure report and I would advise that you seek advice from 2-3 companies before committing to one.

Thanks Oliver,

My partner actually earns less than myself. I didnt want them to be worse off as a result of me filing for an IVA.

Mark.

ThomasCharles wrote:

Hello.

Your Partner's credit file will not be effected by your IVA. If you can show that the debts are nothing to do with your partner you may be able to show an income and expenditure report which takes into account your contribution to all shared bills. This will often be based on the percentage of your income in relation to the joint income within the home. However, there are a number of ways in which you can look at completing the income and expenditure report and I would advise that you seek advice from 2-3 companies before committing to one.

In that case you may be able to argue that your Partner pays only a fair percentage of the shared costs. So for example if your Partner's income made up 25% of the household income you may eb able to argue that they should be responsible for 25% of the shared costs (rent, mortgage etc...).