Bankruptcy advice please

January_Embers

I have been reading these boards and you seem like a friendly,helpful lot so here goes -
My husband and I are in a lot of debt and we have a DMP with Payplan.
We have a joint mortgage and I receive disability living allowance, what would happen to our home if we were made bankrupt? Would it definately be sold?

davek1

Not neaccasarilly January a lot will depend on how much equity is in the property. however given your disability it is likely that they would take a compassionate view. Hang on in there for a bit someone much more knowledgeable than me will come along and explain it more to you.

Dave

January_Embers

Hello Dave,
Thank you for you reply.
There is very little equity in our property.

Addicted2Chocolate

you should read 'what will happen to my home' leaflet on https://www.insolvency.gov.uk. The home will have 3 years to acquire increased equity. to deal with it earlier a third party (friend or family) member can buy your legal interest from the Trustee, they would have to pay yor share of the equity plus the Trustees legal costs.

January_Embers

Thank you Addicted2Chocolate

Conor_3

Seconded. usually in a marriage, when one partner banks, the other buys the interest off the Official Receiver to a maximum of 50% of the equity plus the legal fees for the OR. I say maximum because the OR can set any amount up to that, including zero.