Keep car and house....?

Wham · Joined: 06 Feb 2007 Posts: 1

If I apply for an Individual Voluntary Arrangement, can I keep my car for work and is there a claim on my property....?

would be grateful if anyone could answer,

tar,

bye for now

Andrew · Posted: Fri Feb 09, 2007 8:24 am Post subject: House and car

Yes, in an IVA, you'll be able to keep your car (unless it's something exotic and expensive - and there is value in it that can be released to pay your debts: In that case you will probably be asked to trade down).

If there is equity (the difference between the price for which you could expect to sell the property and the mortgage you need to repay) in your property, you will be asked to release a high proportion of it to repay your debts. However, if you own the property with someone else ( a spouse or partner for example) the maximum your creditors will be able to claim is a proportion of your share (50%) of the equity.

Hope this helps,

Andrew