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My House and car

I was made BR just before Christmas and have my OR meeting in January. I have a mortgage and SL on my home but can't afford the repayments (£1500pcm) and have negative equity so the only option is repoossession. How long will this take?

I notice from the postings that in order to rent people are having to pay 6 months in advance, will the OR let me save this, if my home is repossessed in 28 days what will happen to me and my children in the mean time?

I have a car (worth about £8k) on finance with about £7k outstanding, i need a car to work, will the OR let me have £2k to buy something else or will i have to save this up as well as the rent in advance?

How does the not paying tax work? i was self employed and my business failed making a loss of over 20K this year, will i get relief for this and my tax refund be paid to the OR?

Thanks :confused:

Comments

  • SB1915 wrote: »
    I was made BR just before Christmas and have my OR meeting in January. I have a mortgage and SL on my home but can't afford the repayments (£1500pcm) and have negative equity so the only option is repoossession. How long will this take?

    upto a year

    I notice from the postings that in order to rent people are having to pay 6 months in advance, will the OR let me save this, if my home is repossessed in 28 days what will happen to me and my children in the mean time?

    1. apply to your LA for housing
    2. save the deposit from the debt payments your not making post-BR
    3. for a private let avoid the agents, try own-lettings first
    4. not all PL accept BR's


    I have a car (worth about £8k) on finance with about £7k outstanding, i need a car to work, will the OR let me have £2k to buy something else or will i have to save this up as well as the rent in advance?

    car is PROBABLY safe unless OR decides you cant afford the payments

    How does the not paying tax work? i was self employed and my business failed making a loss of over 20K this year, will i get relief for this and my tax refund be paid to the OR?

    it could take 2 months to implement a nil tax code, the OR may not bother as come april it would revert to normal

    tax relief...... :rotfl::rotfl::rotfl::rotfl::rotfl::rotfl::rotfl:

    Thanks :confused:

    as you are working you can expect a IPO given any surplus over £99 pcm

    post your SOA here for an educated guess at it

    next!
    Now we all know how it felt to play in the band on the Titanic...
  • hi and welcome to the site.

    we have just moved into rented accomodation afer voluntary reposession. we didnt have to pay 6 months up front. only the bond and one month up front. they do credit checks on you (which we failed) and they asked for a guarantor (the checks also failed on the guarantor) but the landlord agreed to take us anyway. so 6 months up front is not always the case. it really does depend on the landlord.

    also, it takes a lot lot longer for repossession than 28 days so you won;t be out on the streets with no where to live with your family.

    i am not entirely sure how repossession works but i think you have a few months before anything happens regarding getting evicted.

    i;m sure someone else willl reply later giving you more thorough answers to your questions, but i hope i have helped at least a little bit.
    Officially BR at 2.10pm on 6th May 2009, ED 7th December 2009

    BSC number 256. Chairperson of The May 2009 Bankruptcy & Debt Relief Order Club!

    It's now time to move on and enjoy life again.
  • after missing about 4-6 payments and all the warning letters/calls the lender has to apply for a posssesion order (you have a month notice of a court date), when you default on that they have to go back to caourt (giving another months notice) to get an eviction order, when they decide to serve that and evict you is upto them, whole process from being upto date on payments to actual physical eviction can be upto a year, say 9 months on average.

    the lenders sometimes accept a nominal (£50) a month payment to stall things, if you want to drag it out longer.
    Now we all know how it felt to play in the band on the Titanic...
  • fiveyearplan
    fiveyearplan Posts: 10,143 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    Any tax refund will go to the OR. As for rented properties, if you do go through an agent it is best to be honest because they charge you for the credit check so if they already know your credit history they may have an educated guess if the landlord will accept you - ultimately its their decision. If you can also look for lets that are by the landlord direct they probably won't do a credit check. Stop paying your mortgage/secured loan to help pay for rent/deposit/essentials.

    Regarding your current mortgage - has the lender not passed on the reduced interest rate to you?

    :j :j


  • SB1915, did you make any advance tax payments whilst SE?

    (for those who dont know, (self employed) HMRC collect taxes due each january PLUS half of whats due (estimated) for the next year!)

    REFUNDS/REBATES will go to the OR now, I thought when you mentioned tax RELIEF that your losses can be offset against any future taxes due, which i too would like a lot......please....pretty please.





    Regarding your current mortgage - has the lender not passed on the reduced interest rate to you?
    :rotfl::rotfl::rotfl::rotfl:

    what about the staff xmas do?
    Now we all know how it felt to play in the band on the Titanic...
  • "If you can also look for lets that are by the landlord direct"


    How would she find these types of Landlords? Would her LA consider her homeless and a priority for Housing?

    Lucy7509
    DFW 199 - Debt FREE March2009
    Proud to be dealt with my debts!:D
  • lucy7509 wrote: »
    "If you can also look for lets that are by the landlord direct"


    How would she find these types of Landlords? Would her LA consider her homeless and a priority for Housing?

    Lucy7509


    for lettings direct by landlords she needs to scan local papers, many LA's consider evictions as genuine homeless, but play a game stating they have no obligation to house, shelter, CAB and social services (sounds dire, but hey ho) can help, and expect LA to offer crap at the last minute hoping you will find a PL, ignoring the fact that THEY will have to pay the rent!
    Now we all know how it felt to play in the band on the Titanic...
  • Thanks, my thoughts on the loss relief is that if you make a self employed loss under normal circumstances that is not offset against income elsewhere, you can carry it forward to future years to reduce future taxable profits... i'm not sure if this is still the case if you are BR?
  • fiveyearplan
    fiveyearplan Posts: 10,143 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    No, I'm not sure about that one either SB1915. You could ask Business Debtline.

    :j :j


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