Friday 19th of February 2010
If you are soon to be a father for the first time then you may want to ensure your baby enters a financially stable household, something an individual voluntary arrangement (IVA) could help with.
Becoming a father may have made you realise the importance of monetary planning and providing for your child could now take top priority.
A new report from the government reveals that many soon-to-be dads would love to be able to work flexibly so they can spend more time with their family.
But if your unsecured debt such as credit cards and personal loans mean taking time out from work is not an option, you may want to start asking some questions on IVAs to see how they can strengthen your family’s future.
A poll from the Department for Business, Innovation and Skills reveals that 91 per cent of dads with kids aged five and under think paid paternity leave is important.
However, more than one-fifth of dads incorrectly believe that employers need to be approached about paternity leave when the baby is born or before it is eight weeks old.
In order to take advantage of legal paternity rights, fathers must have a chat with their boss 15 weeks before the baby is due.
If you have left it too late - or cutting back your hours at work is not an option - then addressing your debt problems now through an IVA could allow you to prepare for the long-term cost of raising a family.
With nursery fees and childcare just some of the expense involved, clearing credit card and personal loan repayments with an IVA could be an important first step in becoming a responsible parent.
And you should not worry about the impact an IVA can have on your family home.
If you keep up with your new, single, reduced-rate monthly repayments then there is no reason why your home should be repossessed, or that your debt problems have to become public.
Both of these are potential consequences of choosing bankruptcy over an IVA.
By Ashley Littley
- House price rise 'may not indicate recovery'
- Equity release 'needs to be increased'
- Need for IVA help could increase as expert predicts reduction in lending
- Government announces 'breathing space' for those needing IVA help
- Lack of subprime lending creating need for IVA help, expert suggests
- IVAs could bring a halt to 'debt crisis'
