www.iva.co.uk

Secured loan
Hello, I feel this is a daft question but thought I’d ask anyway...
I am in an IVA.
My partner would like to take a secured loan out on our property for various things such as home improvements, and garden landscaping. His credit score isn’t great so a standard loan isn’t applicable.
We haven't got much equity but the example below could explain -
£15,000 total equity
£7,500 secured loan from my partners share (50%)

Is this possible? Or would my IVA mean this is not able to happen?

Not going to happen. Apart from the fact that your IP will object ( there will be a restriction on the property requiring his agreement), you will need to be a party to the loan, which is not allowed under the terms of the IVA and you will fail the credit check.

Mon Mar 29, 2021 1:27 pmFoggy wrote:

Not going to happen. Apart from the fact that your IP will object ( there will be a restriction on the property requiring his agreement), you will need to be a party to the loan, which is not allowed under the terms of the IVA and you will fail the credit check.

Thanks Foggy, I thought this would be the case. Thank you for getting back to me

I agree with Foggy. It's not possible for all the reasons he describes, besides which it is unlikely that you will find a lender to consider it. My advice would be to focus on dealing with the IVA first and then things will hopefully start to ease. Good luck.