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My mortgage has just gone up I've spoken to the IVA company and I have been asked to fill out a new expenditure which I am doing but my husband has been offered a part time job its only a couple of hours a week but will cover the extra mortgage payment (just) so we were wondering what we should do.

If he takes on the extra job then we can carry on paying the IVA what we are paying now if he doesn't then we will have to reduce the payments by £200 and we don't want to do that. Do you think they will allow us to do this. We won't make any money from the extra job infact we will may still have to find £50.

If your husband is happy to take on a part-time job to meet the increased mortgage payments, then this is an ideal solution for the IP and creditors. The alternative is to reduce payments - but this can only be done with the express agreement of your creditors at another creditors meeting.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

To have me propose an IVA for you, please visit:
http://www.melaniegiles.com/ivaEnquiry.asp

See customer feedback at:
http://www.iva.com/iva_companies/IVA_Advice_Bureau.asp

Thanks - Yes my husband is happy to take on the extra work. We really don't want to reduce our payments as we got ourselves into this mess and feel that we should pay for it.

I'll contact the IVA tomorrow and suggest it.

In the event your husband takes the part time job, the best thing to do is submit a revised income and expenditure and this will show that your household income has increased by £X per month and that that your mortgage payment has increased by £Y per month. The net effect is that your contributions would differ £X-Y.

I would go on to say that this is as opposed to not taking on the part time employment in which case your contributions would have to be £200 per month less.

I would envisage that £X-Y would be less than £200 and that in the event of this leading to the requirement to vary the terms of the arrangement, creditors would look more favourably on it as you have taken steps to attempt to increase your household income to at least part cover the increase in your mortgage payment.

I hope what I have said makes some sense

Tell it like it is.

Thanks - Yes it does make sense