Going bankrupt at 23.. :(

tigerfeet2006

Secured debt is not included in BR if you keep the house. If you give the house up then the debt becomes unsecured and can go into BR. If you want to keep the house you have to show that you can afford the mortgage and the secured debt and it would not be much cheaper to rent.

Hope that helps

DEBT_23

i wont get to choose whether i keep my house or not. !!
who will decide if i do and on what grounds ?

december

I'm by no means a housing expert but just a couple of things I have picked up from reading others' posts. Firstly it seems to depend on if you have any equity in your house and how much you pay in mortgage payments relates to how much it is to rent a similar property in the same area.

I think your first port of call, after you have had a chat to CCCS is to decide whether or not you would want to keep the house. If you go bankrupt and have secured loans on the property and decided to keep the property then those loans would still have to be paid and you, or someone close to you would have to buy the BI (I think this stands for building interest although please don't quote me!) If you're in negative equity than this seems to work out at £1 plus fees. If you have equity in the property then there seems to be ways around getting the lowest valuations possible but you or someone close to you would still need to buy the BI and pay any secired loans on the property.I'm going to stop waffling now and let one of the experts explain it better

Oh and there are a number of arguments both for and against voluntarily surrenduring the property and residing in the property until it is repossessed.

I'm just going to have a look to see if I can find the link to Scarlett's diary- found it
http://forums.moneysavingexpert.com/...ighlight=diary
December

G-G_4

BI = Beneficial Interest.

DEBT_23

ringin CCCS now im scared

december

Thanks G-G Debt_23 it can be scary facing up to the situation but they are there to help you. Let us know how you get on

December

DEBT_23

rubbish. got wait 2 weeks for a cousellor to ring me

tigerfeet2006

Unfortunatly at the moment with the credit crunch the agencies are inundated with people ring them. Try National Debtline. Number in my sig.

DEBT_23

ok will do now. ta

dalip

do the cccs remedy. It tells you straight away what they reccomend.D



https://www.cccs.co.uk/debtremedy/(S(k423atju4blom3vwxhibvzzt))/start.aspx?hp=104