2 years 3 to go

[Andy1981]

Hi.
I am now completing my second year on my iva. paying £425 a month, which is seemingly getting harder.
As i work on hourly rate system and due to the current problems with the economy, i am worried my hours will start cutting back, it happened at the beginning of this year, and i had to resort to taking a week's holiday pay early to cover it.
My situation now is, my girlfriend and i are planning on moving in with each other.
She has got the mortgage, but i am not on it, as she was understanding when i told her about my iva, and that there would not be a chance of us getting a joint one.
My question is, after i have finished my iva, will i be able to go on the mortgage or will the mortgage lender decline me because of my past.
Also, are you allowed to ask for your monthly payment to be reduced, i can see alot of people will have this question on there lips as people are being layed off etc etc.
And can you have a payment break or is that in breach of your contract.
Thanks for reading, and look forward to your reply.
Andy

[Adam Davies]

Hi Andy and welcome
It is possible to obtain a mortage after, and even during, an IVA.You would be better using a mortgage broker rather than a High St Bank.
You can ask for a payment reduction, or payment break but it will depend on your circumstances. Will you be better or worse off financially when you move in together ?
Regards

[Andy1981]

Hi Andy.
Basically i will be helping my girlfriend pay half the mortgage even though she has taken it out in her own name.
Finacially i will pretty much the same, obviously we will be paying half the bills etc so it should be pretty much the same.
Myself and my girlfriend are happy for her to pay the mortgage until i am free of my iva.
We wont be moving until may, but am just worried that i wont be able to make my payment in the next couple of months if my hours keep getting cut.

[Adam Davies]

Hi
Talk to your IP, if needs be they can authorise a payment break to get you through this period.
Try to get through the full term of your IVA, the benefits will be worth all the pain
Regards

[liberta]

Hi

If your hours are cut indefinitely and your income is reduced, you should talk to your IP straight away. He or she will want to conduct an income and expenditure review and then, if your surplus income has reduced, will be able to go back to the creditors and ask them to accept a reduced dividend.

The main thing is to keep your IP informed of your situation. Your IP and your creditors are well aware of the current problems people are having due to the current ecconomic conditions and will be sympathetic to your situation.