I wonder if you can help us. Myself and my husband are paying into an IVA and have been since October last year. We pay £400 per month. Unfortunately, my husband has now had an attachment of earnings put into place by the CSA in the sum of £145.00 per week. This means we cannot afford to pay into the IVA. They are giving us a break in payments of 6 months in order for my husband to carry out DNA testing. Should parentage be proved, we will have to continue to pay this money and the IVA will fail. We will then need to file for bankruptcy. The process is fully covered in your very informative website but we are so worried about losing our house and wondered if there is any advice you can give us as to whether there is any possibility that we can file for bankruptcy and not lose our house.
We would welcome any information you may be able to give us.
Does the house have any equity? If so then the OR would want to release that equity to pay to your creditors. You could reach an agreement with the OR to pay the amount of equity to them rather than them selling the house.
If there isn't any equity in the house then you would be able to buy back the house for £1 plus a £211 fee.
Obviously regardless of whether there is equity in the house or not you would need to maintain any mortgage repayments.
145 WEEK Is a lot of money for one child, so surely even with that your partner must be earning enough to pay the 400 pound IVA? How likely is it that he isn't the child's father?
Maybe I am missing something here and I know nothing about CSA, but it seems grossly unfair to me that a person is made to pay without first establishing if the child is his???
You need to speak with your IP - update them as to the present situation with regard to outgoings etc and ask their advice.
if bankruptcy was your only option you will need to obtain a certificate of failure of your IVA before the District Judge will hear the bankruptcy petition.
Melanie Nicholas 28 years insolvency experience - 23 of which in the Insolvency Service - Insolvency Manager Jones Giles email me at melanienicholas@jonesgiles.co.uk
I wonder if you can help us.
Posted - 01 September 2009 : 11:33:26
