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Hi
We have just found ou that we are expecting our 2nd child - total shock as not planned.
When my wife finishes her maternity leave which would be next year, she will be unable to return to work as she will have a 3 yr old and new baby to look after with no one to help out.
So it will be my wage only.
I have a Northern Rock 125% mortgage which is currently at £114000 secured and £31000 unsecured with 31 years left (750 a month).
I have a Tesco loan at £16000 with 5 years left (298 a month).
I have an Egg card with £6700 and HSBC card with £3000 on it.
My net income will be £1400 a month plus child benefit and child tax credits which will be about an extra £240 per month i think.
I have allowed £300 per month shopping a fuel which i think is frightfully low. Based on this, i cannot meet our repayments next year.
Should i pursue an IVA? All debt except the Tesco loan is in joint names.

Hi Andy and welcome to the Forum.
First of all many congratulations on the forthcoming baby and this should be your first priority. You should seek some free advice from an insolvency firm as you do seem to have a serious financial problem. Bankruptcies or IVAs may be the best option depending on any equity in the property and your individual circumstances.

It would be pointless to try and struggle on at this time as you know the problem is getting worse so speak to someone and find out what is best for you, your wife and your family.

I don't have anything helpful to add cos I don't really know about this stuff but many congratulations on the baby surprise! Lovely news, and I hope you get something sorted out financially soon.
M80x

Congratulations from me as well.

I agree with Michael that you need expert advice.

Visit www.iva.com for a list of companies and reviews and give one or two a ring. The advice is free and impartial.

What super news - and if you do need to make some lifestyle adjusmentso be it. Your family is far more important.

As for doing an IVA - it may be worth taking some advice from an insolvency practitioner at an early stage to know what your options are, but if you are affording your payments in the meantime then carry on as normal until you need to start setting things aside for the baby.

congratulations from me too. xx