will it affect my credit avaiablity

[mln]

my partner is considering doing an IVA as we have a joint mortgage I am worried that it will affect my credit avaiablity even through I own the house not my partner

[MelanieGiles]

Hi mln and welcome to the forum

That is strange that you have full title to the property, but your partner is jointly responsible for the mortgage. Are you sure that this is correct? If so can you explain the reasons for this.

Your partner's IVA may affect your credit rating, but the main problem it seems to me that you have is undoubtedly your partner has acquired a beneficial interest in the property which will have to be valued. His creditors will expect to see him raising any equity during the IVA, but you will also need to agree to this.

Can I ask what the property is worth, how much you owe on the joint mortgage and how much your partner owes to his creditors?

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

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[mln]

the reason to the question you asked is the property is owned by me as it was an ex council right to buy I was the tenant of the property not my partner but we had to go for a joint mortagage as my partner was the ownly earner at the time. but the deeds to the property are mine. you say that in the IVA the credits would ask for a remortgage of the property to cover my partner debts what would happen if I did not agree.I do have a bit of credit myshelf but mine are been payed. My partner as debts of £27.000 in credit cards and a loan accrued over 5 year period.Its ownly been in the last 6 months that work has dryed up abit and as had periods out of work and credit card payments have been late he looking at reducing his out goings in this dept.He does not want the debt put on a remortgage as the debt could be repayed back over a 5 or 10 year period depending on repayments

[MelanieGiles]

hi again

I think that your partner will have definately acquired a beneficial interest in the property in this case, as he was obviously funding the mortgage payments for some time whilst you were not working. I also assume that you both contribute to the running of the house from your joint salaries.

Can you advise how much the property is worth, and how much is the outstanding mortgage. Also is the property still within the three year clawback period under the Council Right to Buy scheme.

I am also assuming that your partner is self-employed? How much does he feel he could afford to repay his creditors on a monthly basis?

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

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk