Debt advice regarding iva's/bankruptcy

Toon_Dave · 18 March 2008 at 11:21AM

Hi guys,

1st time poster here so hope some one can help or offer advice.
i will give some life history as to why im in the mess i am now. Approximately 1 year ago i split with my longterm GF, together 8 1/2 years, We split due to her lying and deceit with hiding debts etc. i actually found all the debts and un opened letters by mistake. there were hundreds of letters including ccj's and mortgage arrears, loan arrears and things i didnt know excisted as my ex had restarted credit cards etc to try and clear the debts, which obviously didnt work as i wouldnt be in this mess now. Anyway to cut a long story short i have been dealing with the CAB for the past year in newcastle who have been fantastic to be honest with help and advice and also creating a DMP with creditors. My mortgage is upto date now, no arrears which is great.

i have a joint mortgage and joint loan with the Ex which i have kept joint so that she has to accept responsibility if it all goes pear shaped, which is where i see it going now.

i have been paying for things for the past year with a real struggle and now am finding if more difficult as a new debt has come to light which is an unsecured loan which the company have got a charging order agaisnt the property, this debt is £35,000. which is why i am writing on here as i cant afford to repay this newer debt along with my other excisting commitments. i have contacted an IP company through the CAB who are collecting paperwork from me this morning to see if an IVA would be suitable for me.

i will post this and attach my SOA next. Thanks. Dave.

rog2 · 18 March 2008 at 11:34AM

Hi Dave, and welcome to DFW.

I am pleased that you have taken advice from CAB - there are so many disreputable 'IVA Factories' out there, but CAB is most unlikely to refer you to one of these.
If you have, as you do, assetts, in particular property, then a properly administered IVA can be a real alternative to bankruptcy. As your mortgage is 'joint' with your ex, then the 'loan company would pursue you for the whole of the balance of the loan, against which they have secured a charge on the house, in the event of any default.
I hope you get good advice from the Insolvency Practitioner, and I wish you well.

bank_of_slate · 18 March 2008 at 11:36AM

Hi toon dave, welcome to the best place for support & advice.
I hope your ex is also paying some of these debts off or has it all been left to you to pick up the pieces?
...Linda xx

Toon_Dave · 18 March 2008 at 11:44AM

here goes.

Monthly salary - £1560

monthly outgoings - priority

Mortgage - £460 Balance £61,000
Secured loan - £535 Balance £21,000
council tax - £73 Balance£728
water - £31 Balance £217
Electric - £80 Pre-payment key
Service charge £50
telephone - £11
tv license - £14 Balance £140
life insurance -£10
food £100
CCJ - C/C £85 Balance £3,400.

Total - £1449.00
available to creditors - £111

Monthly outgoings - non-priority debts

goldfish C/C £13pm Balance £6,100
Lloyds TSB c/c £66pm Balance £2,800 - did not accept smaller amount pm
Sky C/C £10pm Balance £3,800
HFC Bank S/C £20pm Balance £240
HFC Bank £10pm Balance £60
Northern Rock £0pm Balance £ 35,000.

Per month - £119

Total non-priority debts - £ 48,000.

Total Debt as of march 2008 - £134,485.

Any help or advice would be greatfully received on best options.

Dave.

Toon_Dave · 18 March 2008 at 11:49AM

hi Bank of slate,

Thank you for the reply so quick.

unfortunately my ex doesnt work and is on incapacity benefit for depression, has been for past few years, she now lives with her parents who did pay some of the inital debts off when we first split. she hasnt contributed anything to the debts since we split last march. i have kept all joint debts as the same so that she is still repsonsible for those if i need to file for bankruptcy etc.

Does this mean she would have to declare bankruptcy too or would half the debt on the joint loans be transferred to her?

i dont mind having to sell the house as to be honest its a distance from my family and i would like to move back closer as my health has suffered having to deal with all the debts myself. i have already been refused a remortgage due to existing commitments so i would need to rent which i am happy to do to have a new start.

bank_of_slate · 18 March 2008 at 11:51AM

Hi Dave - hope this is helpful

Toon_Dave wrote: »

here goes.

Monthly salary - £1560

monthly outgoings - priority

Mortgage - £460 Balance £61,000
Secured loan - £535 Balance £21,000
council tax - £73 Balance£728 Are you living alone? is there a single person discount?
water - £31 Balance £217
Electric - £80 Pre-payment key
Service charge £50 what's this for?
telephone - £11
tv license - £14 Balance £140
life insurance -£10
food £100 Can you reduce this by meal planning
CCJ - C/C £85 Balance £3,400.
What about travel costs- car or metro tickets
Total - £1449.00
available to creditors - £111

Monthly outgoings - non-priority debts

goldfish C/C £13pm Balance £6,100
Lloyds TSB c/c £66pm Balance £2,800 - did not accept smaller amount pm
Sky C/C £10pm Balance £3,800
HFC Bank S/C £20pm Balance £240
HFC Bank £10pm Balance £60
Northern Rock £0pm Balance £ 35,000.
See if CCCs can help you to do a DMP, there's a chance these amounts might be frozen for you
Per month - £119

Total non-priority debts - £ 48,000.

Total Debt as of march 2008 - £134,485.
Is the ex contributing to this or is she down Bigg Market living it up?
...Linda xx

Dave.

Toon_Dave · 18 March 2008 at 11:53AM

thanks Rog2.

The house has been valued last week and the equity would be mostly swallowed up to clear the outstanding mortgage and secured loan.

the new loan which came to light may have a charging order but i am awaiting confirmation as the collection company in question could not provide me with court details or refeernce numbers when contacted from the CAB last week, i think they are trying scare tactics to force me to pay. As you can see from my SOA, i cant afford to pay them a lot back of the £35,000 debt. if it is secured then i would not be able to sell as the value of the house is less than is owed to the three companies with 'interest' in the property.

AGHHHHHH....bloody Ex GF....

tigerfeet2006 · 18 March 2008 at 12:00PM

IF you were to go bankrupt then any joint debts would fall wholly on your ex to pay.

Toon_Dave · 18 March 2008 at 12:00PM

bank_of_slate wrote: »

Hi Dave - hope this is helpful

hi linda,

All the interest has been stopped for all existing debts via the CAB so i only pay back what i owe, even llloyds who did not accept lower monthly payment did suspend the interest charges even though i wasnt in debt with them.

i have single persons allowance for the council tax, the service charge is for maintenance on the property, i live in a ground + first floor maisonette so i pay a service fee for external works, buildings insurance etc.

i have a company car so luckily dont have to pay out for insurance and travel, i pay a percentage of fuel used per month for personel use which is deducted automatically from my wage so i havent included that, my monthly salary is my take home pay after deductions.

and yes i think my ex is probably living it up down the toon or bigg market every blood night while i struggle on smart price pasta and out of code food!!

RAS · 18 March 2008 at 12:01PM

Hi

You need some very careful advice if there is no equity in the house.
if you only were to go BK, you ex would become liable for the full value of the joint debts.

Whether she then goes BK to clear them is for her to decide.

Toon_Dave · 18 March 2008 at 12:04PM

tigerfeet2006 wrote: »

IF you were to go bankrupt then any joint debts would fall wholly on your ex to pay.

Would that affect how i would declare bankruptcy? or would the OR decide how to sort it all out?

As i said the mortgage and secured loan is joint, all other debts are in my name even though i didnt run them up myself, this was down to my ex using cards etc while i was working away most of the week, including weekends some weeks. is this worth pursuing legally for fraud etc? or is it just my word against hers?

Debt advice regarding iva's/bankruptcy

Comments

Confirm your email address to Create Threads and Reply

🚀 Getting Started

Categories

Is this how you want to be seen?

Get our FREE Weekly email full of deals & guides - and it’s spam-free