Bankrupt, please can anyone help?

helpmeplease64

I'm begging for help and advice from anyone, please.
I have discovered that my husband has been made bankrupt, hes self employed and basically hasnt done any books for years, he was investigated by the inland revenue and they say he hasnt paid enough tax. This is going back a few years ago and he has no books to prove otherwise! We havnt led an extravigant life style, we've been abroad twice in 20 yrs, not even been on holiday in this country in 4 yrs, i dont have a new car or designer clothes!
He was made Bankrupt over a year ago and i knew nothing of it as he intercepted all post etc

Its now at the stage where they want the money owing from the house approx 50K. There is enough equity in the house to cover the debt but i just dont know how we can raise the funds to try and pay this bill.

We do have 4 children ranging from 18 down to 8. I work part time earning approx £800 a month. Husband is still working but is abit quiet at the minute.

I have discovered that the inland revenue putting some sort of an order on my home is immenent.
I'm absolutly at rock bottom, i just dont know where to turn.
Please please please can anyone advise me, i'm begging.
Thank you

nervousmother

Your husband was very much like mine was, he felt by hiding the post he was protecting you, I do feel for you.
The house will belong to you both? The equaty in the house belongs to you both so they can only take half of it. Sounds like you have a fair bit of equity, would it be possible for you to take out a loan to buy your Husbands interest in the house? If he was made BR a year ago it will be the receiver who is after your house in order to pay your husbands creditors, including the Inland revenue. The official receiver would have given you a year to stay there if you have a family, You need to speak to CAB to find out your options.

The inland revenue are hard and harsh, they can pluck a figure of tax and say you owe it, it is then for you to prove that you dont.

I hope things go well for you, get professional advice. good luck

helpmeplease64

Thanks NM,
I think there is somewhere in the region of 100K equity in the house, so his half would cover the debt. Yes its in both our names. I'm not sure where the best place is to start with applying for a loan. Husband has always dealt with all of this stuff!
I just cant seem to get my head round any of this at the min but i know time isnt on my side.
I feel so ashamed, am not eating, sleeping or functioning...about all i can do at the min is cry!!
Will go to CAB 1st thing monday.
Thank you so much, your the 1st person i have told!

Good luck x

nervousmother

£50 is a large loan to apply for I dont think I would like to apply for one in these times..... would you be able to afford to re-mortgage? if you cant it may be your only option to move into a smaller cheaper property, if his debt is only £50k in total could you pay it of and cancle the BR? im no expert in these matters

Talking is the best thing you can do, the relief when letting it out is enormous, I have been put in a bad situation due to the current climate and Northern rock, I have been where you are now, the crying distress & shame,

Things do get better, and you will smile again. Please talk to someone.
These boards are fantastic for help and advice, your not alonge

JCS1

If you have the money in the property to clear all unsecured debts (loans, overdrafts, credit cards, HMRC) then you could consider an annullment. bearing in the mind the BR was a year ago, there will also be Trustee fees and out of pocket expenses to cover too.

Be right back with the link to the leaflet on this,

http://www.insolvency.gov.uk/pdfs/guidanceleafletspdf/Canmybankruptcybecancelled.pdf

maxmycardagain

I feel every sympathy for the OP, im not sure about her OH though, he must have knew he should keep records, presumably he has not paid his national insurance either, which will affect his penison entitlements, he has made life very difficult for all.

The OP isnt bankrupt and has a half share in the property equity, which oddly (even after her OH going BR "over" a year ago hasnt had a CO put on it by HMRC.

This isnt good for anyone.

helpmeplease64

Thank you for help and advice you have offered.
Iam trying to get my head round all this and part of the problem is not really understanding much about bankruptsy.
I'll keep reading and typing for now and hopefully get some advice on monday.
Thanks again, good luck all x