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  • FIRST POST
    • Splodge1000
    • By Splodge1000 28th Sep 17, 7:17 PM
    • 30Posts
    • 7Thanks
    Splodge1000
    Debt Relief Order advice please
    • #1
    • 28th Sep 17, 7:17 PM
    Debt Relief Order advice please 28th Sep 17 at 7:17 PM
    I have been working with one of the debt advisory charities/services who have done everything they can to help me but I now have a dilemma. I have debts on cards under the £20,000 threshold but at present have no income whatsoever. No job, no benefits. Zilch. My partner is providing for me. A DRO would seem to be the best solution for me but here is my problem.

    I live in my partner's property with her and have done for a number of years. She has lived here for over 25 years and there is no mortgage. There is huge equity in the property (5 times the purchase price). The property is in her name alone, always has been and always will be. I have never been on the land register as a joint owner and never will be (I have never owned property). I never contributed a penny to the mortgage payments when there was a mortgage which is why the property has always been in her name only. This was the understanding. She paid the mortgage (out of her bank account) and was the sole owner and if ever we separated then I would have no claim on the property and would not want to have a claim. The question was asked by the debt charity as to "is there equity in your home" and I answered truthfully that there was huge equity but that it wasn't my home and not my equity,

    I have paid my share of the monthly bills when I have been able to (excluding mortgage and house insurance) and a few years ago a new galley kitchen was put in which cost £900. As my financial position was better at that time I paid half of the cost toward this as a thank you and a present to my partner. I was asked the question about making any home improvements and I answered truthfully that I had contributed to the cost of the kitchen.The debt charity have advised me that their insolvency experts believe this may give me a beneficial interest in the property which might mean a DRO is not granted.

    I have never asked for or wanted any interest in the property. If my partner and I ever decided to separate it was always understood that I would leave and would not ask for anything out of the property. If I had wanted an interest I would have contributed to the mortgage and had my name added to the title deed.

    This is my dilemma. I cannot see any other solution than a DRO because I have not a penny to my name at present and no income in the foreseeable future. I don't want to apply for this if it will be rejected. More importantly I do not want my partner dragged into my mess in any way. These are my debts and not hers. This is her property and not mine and I do not want her ownership or interest compromised in any way as she has paid for this property entirely by herself. It belongs to her. I want no interest in it and have never considered that I have any interest in it. I would rather walk out of the door and live homeless on the streets than compromise her home in this way.

    The debt charity, and I am really happy with their service, have advised me that I couldn't speak with their insolvency people as they don't take calls. I wanted to discuss this matter with them and hammer home that I do not own the property and the improvement I contributed to is what I would regard as minimal. I cannot believe that this might make me ineligible for a DRO.

    Can anyone offer any ray of hope here? I don't know whether to continue with the application or not. My partner will lend me the £90 fee but I do not want to borrow from her if the application will be refused.

    Perhaps someone can advise? Thank you.
Page 4
    • obay
    • By obay 29th Oct 17, 8:37 PM
    • 454 Posts
    • 337 Thanks
    obay
    Thanks, fatbelly, though bankruptcy is not going to be an option in my situation.

    I am keeping a daily check on the balances and so far the total is still acceptable.
    Originally posted by Splodge1000
    Iím pretty sure you can pay for bankruptcy through £5 installments?
    1/12/16 - £152,599.00
    11/11/17 - £145,990.00
    Two Credit agreements to pay off - £13653! (inc interest).
    Sofa (DFS) (0%)£923/£923 - Paid off 7th November!
    Barclays Boiler (18.9%!)£400/£3021.36
    Barclays Car (5.99%)£0/£8,832.37
    • Splodge1000
    • By Splodge1000 2nd Nov 17, 5:13 PM
    • 30 Posts
    • 7 Thanks
    Splodge1000
    I have been advised by my local CAB that my DRO application has been granted by the Insolvency Service.

    Thank you very much to all who offered advice, guidance and encouragement in the thread; in particular I would like to express my appreciation to fatbelly, sourcrates and Stopit for their constant support and assistance. I am most grateful for the assistance for which I feel indebted.

    Next step is to try and find a position somewhere and start to rebuild.

    Thanks again, everyone.
    • fatbelly
    • By fatbelly 2nd Nov 17, 6:37 PM
    • 11,641 Posts
    • 9,008 Thanks
    fatbelly
    Well done!

    That was a bit of a saga but you got there in the end.
    • sourcrates
    • By sourcrates 2nd Nov 17, 6:48 PM
    • 13,024 Posts
    • 12,626 Thanks
    sourcrates
    I have been advised by my local CAB that my DRO application has been granted by the Insolvency Service.

    Thank you very much to all who offered advice, guidance and encouragement in the thread; in particular I would like to express my appreciation to fatbelly, sourcrates and Stopit for their constant support and assistance. I am most grateful for the assistance for which I feel indebted.

    Next step is to try and find a position somewhere and start to rebuild.

    Thanks again, everyone.
    Originally posted by Splodge1000
    Excellent news !!!

    Think Fatbelly sums it up nicely lol !!!
    I'm a Board Guide on the Debt-Free Wannabe, Credit File And Ratings, and
    Bankruptcy And Living With It, boards. "I volunteer to help get your forum questions answered and keep the forum running smoothly".
    Board guides are not moderators and don't read every post. If you spot an abusive or illegal post then please report it to forumteam@moneysavingexpert.com. Any views are mine and not the official line of MoneySavingExpert.com.

    For free debt advice, contact either : Stepchange, National Debtline, or, CAB.
    For Free Legal advice see : http://legalbeagles.info/
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