help please

lest_3

thanks to the help on this site i have now decided to go bankrupt, but i have just recieved a letter that i am not sure what to do with.
it is titled debt notification and is on behalf of the royal bank of scotland, the thing is the account is at nat west (are they the same company?)
they have given me til 2nd december to sort things with them or they will start proceedings of either a ccj or decree
posessions being seized (can they do that) or the debt increasing because of court costs and finally a debt collector visiting my home to collect the debt of which there is no way i can pay.

maxmycardagain

have you taken proper advice ref going BR?

they are as one now

http://news.bbc.co.uk/1/hi/business/639086.stm

depending on wether you own your own home, etc a CCJ will a) take weeks and b) be wiped by going BR

what are your circumstances?

chin up

(most of its all waffle anyway)


believe me, you can go BR much faster than they can get the baillifs round for your sofa

lest_3

yes spoke to national debtline and insolvency service.
they were very helpful.
the short story is: self employed business not doing to well at present, mortgage of £113000 and the house is only worth £90000 and have aprox £23000 debts that i cant afford to pay. have been told that i cant get an IVA as i dont have enough money left after all outgoings, so after reading everything i can on here and talking to the above have decided on BR.
that explains the nat west/rbs thing thank you

Queen

Hi Lest, we had a unsecured loan with RBS took out in 2006, due to illness is April this year would could not pay the full £200 per month after advice for payplan and CCCS sent budget planner offering token payment of £9.25 even though we had a minus surplus and could mot afford to live, they said the would accept a payment offer of £600 durrrrrrrrrrrr if we cann't pay normal payment how can we afford £600 so the instruct their sols to get a charging order even though no equity, £600, so on the advice of CCCS went BR on the 05th Nov, its going to be the safest way of keeping our property, not somthing I wanted to do but its given us a fresh start, and no stress as this was making me ill

lest_3

that sounds very familiar, have you had any problems asfar as keeping your house?
that is the only thing i have been concerned with. i have no equity in it so i dont think there will be a problem but its nice to talk to someone thats been through the same thing recently.

hanvic

hi i am thinking of going br and from what i have read my house will be repossessed even tho negative equity. bit confused here. could you clarify for me.

many thanks

hanvic

Queen

Hi both, house safe in BR because of negative equity as long as we keep up the payments on mortgage and secured loan then we will be ok, we also have an option for a 3rd party to buy the beneficial interest this will protect future equity within the next 3 yrs, but I really don't think that house prices are going to go back up to what they were within the next 3 yrs I work in the mortgage and housing market so I think we will be ok

lest_3

hi hanvic
i have read a few things like yourself that have got me very confused over this, but after talking to the insolvency service 0845 6029848 they advised me that due to having no equity or assets that they wouldnt touch the house although this may be different if i was behind on my mortgage payments. so from what i can tell because the payments are up to date they could not touch the house. when you go br the official reciever becomes the beneficiary of your assets even though they are negative, you can then ask him if you (or a friend or family member) can buy the negative equity off him,which would cost you a pound + £211 for paperwork.
once you have done this the OR then has no interest in your property and therefore cannot come back to you even if the house suddenly doubles in price.
also as an extra bit a friend of mine recently went br and was 6 mths behind on his mortgage. once he had gone br the mortgage lender contacted him and said that he could keep the house if he can pay the outstanding balance.
please dont hold me to any of this as i am only a newbie myself, but this is how i have read and heard it. hopefully someone with more knowledge will come along and confirm this.