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    • Splodge1000
    • By Splodge1000 28th Sep 17, 7:17 PM
    • 19Posts
    • 2Thanks
    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 3
    • StopIt
    • By StopIt 16th Oct 17, 10:02 AM
    • 1,047 Posts
    • 933 Thanks
    Possibly but I would rather not if it can be avoided. I am already having to scrounge the DRO fee from her.
    Originally posted by Splodge1000

    Well, remember how much bankruptcy costs.

    If the difference between a DRO going through and not is a hundred quid or so, that's still far cheaper than the bankruptcy fee.

    I wouldn't be chancing it in your position, but of course, that's dependant on how you feel about asking your partner.
    • Splodge1000
    • By Splodge1000 16th Oct 17, 2:26 PM
    • 19 Posts
    • 2 Thanks
    Well, remember how much bankruptcy costs..
    Originally posted by StopIt
    Indeed, StopIt, and because of that I do not think bankruptcy is going to be an option.
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