Is my partner responsible for my IVA?
When it comes to IVA, many people question the responsibility of a spouse with regard to their partner’s debt.
Unless you have agreed to become a guarantor for someone or you jointly own a debt, you are not financially responsible for their finances.
However, with an Individual Voluntary Arrangement, the matter becomes a little more complicated as creditors will find it hard to believe that a partner has not benefited from any of the debt that you accrued. As a result, they will request full details of your household expenditure rather than a record of your sole expenditure.
An IVA is more likely to be granted if both partners agree to make monthly payments. If your spouse has moved away from the family home, he/she will not be required to make payments to your IVA but if your partner returns at a later date, the IVA will have to be adjusted to account for the change in your financial circumstances.
Many people help out their spouse when they are in debt but in a lot of cases this act of kindness is reciprocated by a continued accumulation of bills. An IVA can be a firm but fair way to help a spouse take responsibility for bad spending habits and put them back on the road to financial stability.
A couple do not have to be married to apply for a joint IVA. Some find it easier to share an agreement as it interlocks both of their debts into one affordable sum. This way, both partners take the responsibility for payments.
