My mess - your thoughts?

ToastedHippo

Dear all,

I've read through the various posts and I must say that this forum is informative, excellent, and reassuring. But, as I guess we all have different circumstances, I wondered whether anyone could suggest a course of action for my current position:

• Current unsecured debts: c£75k
• Joint mortgage of £188k, house bought for £205k but now worth iro £190k. 8yr fixed mortgage with large penalties for early redemption.
• Income prior to 12th September was £44k from main job and £5.25k from second. Left main job in September due to stress from pending divorce and depression (most of which relates to my financial difficulties)
• Debt has been growing since University, and got significantly worse when I had to leave my former home due to neighbours from hell moving in next door. Rented and paid mortgage simultaneously. Took a big drop in asking price on the house as a result just to get out of it.

I'm considering asking my estranged to buy my share of the property so that she and our two little boys (1 1/2 and 3) can stay there. I would be happy to remain liable for half of the mortgage. I don't want them to lose their house and I'm happy living on my own, wherever that may be, until I get back in work.

Next steps?

Thanks all,

xxx

t0mm

Hi ToastedHippo - welcome to MSE I'm just starting on my journey through bankruptcy and have found the members of this forum to be extremely helpful and kind.

Firstly, i'd suggest getting in touch with some of the following organisations, who will be able to give you professional advice on your personal situation:

- Citizens Advice Bureau - http://www.citizensadvice.org.uk/
- CCCS - https://www.cccs.co.uk/
- National Debt Line - http://www.nationaldebtline.co.uk/

In order for one of the experts on here to give you further advice, i'd recommend filling out the SoA calculator at MSOC - http://www.makesenseofcards.com/soacalc.html then copying the results to a new post on this thread.

After doing that, someone will be able to advise you on how an Official Receiver would look at your finances in the case of bankruptcy, and whether bankruptcy is the right route for you to take.

My first impression is that BR may well be a viable route for you to take, with only £5.25k income, £75k of debt and not much equity in your jointly-owned house, but fill out the SoA calculator and someone who has more experience than myself will be able to assist you further.

Hope this helps