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Posted: Wed Jul 28, 2010 5:51 am
by carol.pr
can you be a garantour if you have a iva
Posted: Wed Jul 28, 2010 7:38 am
by Lincoln_Guy
Hi, I'm sure an expert will be along to offer some advice soon. However, my personal feeling is that whether or not a person in an IVA is "allowed" to be a guarantor, they will definitely fail any credit checks involved in the process. Also, they would be highly unlikely to be able to honestly state that they would be in a position to take over the payments should the person they were acting as guarantor for default on their payments. The whole idea of being a guarantor is so that if the debtor is unable to make payments then the guarantor can do so instead, and I know that I wouldn't manage to make even a small payment of £50 per month whilst still paying my IVA.
Posted: Wed Jul 28, 2010 7:43 am
by kallis3
I'm pretty sure you're not allowed to but not 100% on that.
As you say, you would certainly fail any credit check.
Posted: Wed Jul 28, 2010 8:30 am
by Adam Davies
Hi
No you will not be allowed to be a guarantor I'm afraid.
You would be liable in total for the loan/rent that you guarantee and this would not be allowed under an IVA. To guarantor is really the same as taking out a joint loan with the person you are the guarantor for
Regards