Ask a CCCS counsellor a bankruptcy question

curtyoung

Hi All

new to the forum but not new to debt!

I have a quick question i am preparing for bankruptcy in the coming months.I lost a property 3 and 1/2 years ago it was repossesed and the shortfall is a large chunk of my debt.

I have since been living in rented property with my partner and kids and in the 3 years have never missed a payment or been late with a payment and would consider myself a perfect tenant.

i would would just like to know where i stand legally with this as don't wish to be kicked out of this rented property when i do go bankrupt as the kids have started local school etc.

any help appreciated

curt

piana84

Hi, Im really hoping a CCCS advisor can offer me some advice.

I am currently in a Debt Management Plan with Payplan, i am in debt by £60000...mainly due to a Mortgage shortfall. I am a single parent and live in rented accomodation.
The house that i owned with my ex was sold at auction in November 2010 and the shortfall was approx 59k. My ex refuses to pay or even help me pay, as it is a joint debt they dont care who pays it.

When i first approached Payplan i was given the options of DMP, IVA or Banruptcy. I was refused an IVA as Northern Rock were more than 85% of the debt so automatically refuse, so i took the DMP option. Its going to take me 20 years to pay this off.

This whole situation is really stressing me out and i worry about money all the time. my daughter starts school in sept and im worried that i wont even be able to afford her uniform etc.

I really considering bankruptcy but am worried i will lose my job - this is the reason i didnt take this option in the first place.
My job title is Admin Assistant but i am also in charge of raising all purchase orders for the department and also have a corporate credit card that is used for travel etc.
I also work with our Financial Controller in preparing the budget every quarter and its my job to track all payments etc.

Would my job be at risk????

System

Looby123 wrote: »

Hi...can anyone help me with my query..or has anyone else been through this and can offer advise?

My husband and I went bankrupt last October. The house we live in is mortgaged in his name only.

We have sorted out payment orders etc and everything is fine...except we want to transfer the trust of the house back into my husbands name.

There is currently negative equity in the house and we had no problems paying the mortgage so were able to keep our house.

My question is...do we really need a solicitor to deal with this ie. transfer the trust back to us,or could we do without one? The reason being is cost- as the house is solely in my husbands name,the Official Recievers costs are £464 (as opposed to just £265if we both owned the house!!)... and the cheapest (in fact,only) solicitor i could find who knew what I was on about (others accused me of fraud saying that you cant have your house back after bankruptcy!)..cost £575!!

If I do need a solicitor - does anyone have a recommendation.. like I say,I've only managed to find one (and that was from the Insolvency website), that had experience in this field?

Also...when we're sorting all this out...is it possible to put my name on the deeds at the same time? As we will be changing the deeds anyway to remove the Official Recievers I cant see this being a problem or csting any extra than just putting my husbands name on it!

any advice is welcome...and the faster the better...!!!

thanks

Hi Looby123 and thanks for your post.

This is really a legal matter and we don’t advise on this.

Community Legal Advice might be more helpful.

Kind regards,

Mat

System

curtyoung wrote: »

Hi All

new to the forum but not new to debt!

I have a quick question i am preparing for bankruptcy in the coming months.I lost a property 3 and 1/2 years ago it was repossesed and the shortfall is a large chunk of my debt.

I have since been living in rented property with my partner and kids and in the 3 years have never missed a payment or been late with a payment and would consider myself a perfect tenant.

i would would just like to know where i stand legally with this as don't wish to be kicked out of this rented property when i do go bankrupt as the kids have started local school etc.

any help appreciated

curt

Hi Curt and welcome to the forum.

You would need to check you rental agreement to see if there is any clause regards bankruptcy.

A lot of rental agreements have a clause in regards bankruptcy as a standard section of the agreement. This is for the landlord’s protection.

In most cases the landlord does not act on the clause when he/she has no issue with tenant. If you are unsure it might be best to check with the landlord or letting agent directly.

I hope this helps.

Kind regards,

Mat

System

piana84 wrote: »

Hi, Im really hoping a CCCS advisor can offer me some advice.

I am currently in a Debt Management Plan with Payplan, i am in debt by £60000...mainly due to a Mortgage shortfall. I am a single parent and live in rented accomodation.
The house that i owned with my ex was sold at auction in November 2010 and the shortfall was approx 59k. My ex refuses to pay or even help me pay, as it is a joint debt they dont care who pays it.

When i first approached Payplan i was given the options of DMP, IVA or Banruptcy. I was refused an IVA as Northern Rock were more than 85% of the debt so automatically refuse, so i took the DMP option. Its going to take me 20 years to pay this off.

This whole situation is really stressing me out and i worry about money all the time. my daughter starts school in sept and im worried that i wont even be able to afford her uniform etc.

I really considering bankruptcy but am worried i will lose my job - this is the reason i didnt take this option in the first place.
My job title is Admin Assistant but i am also in charge of raising all purchase orders for the department and also have a corporate credit card that is used for travel etc.
I also work with our Financial Controller in preparing the budget every quarter and its my job to track all payments etc.

Would my job be at risk????

Hi Piana84 and thanks for your post.

You would need to check the terms and conditions of your employment contract, and possibly speak to your HR department.

Bankruptcy is publically recorded on the insolvency register and your tax code will change. It would also be recorded on your credit file.

It is possible to have a company credit card while being bankrupt but the details of this and payments made towards it would need to be disclosed to the Official Receiver.

If your contract states that you cannot go bankrupt in your current position it might be worth looking at changing positions either within the company or possibly looking for jobs elsewhere that would not be affected by bankruptcy.

We have a specialist bankruptcy team that can help you petition for bankruptcy, but we can’t comment on the term of your employment contract.

I hope this helps.

Kind regards,

Mat

JustinCredibleGillespie

HELP!!Hi I also have a question. Hopefully someone can help me. I am in debt up to my eyes also. I took a loan from ulster bank for £16k in May 2008 to clear both mine and my partner debt. My partner turned very abusive around July 2008 just after all the cheques cleared to pay her debt. I couldnt take it anymore so I walked away from the marriage and havent looked back since. I paid the repayments on my own for 18 months @ £340pm without any help from her and I entered into an IVA in Sept 2009. The IVA failed on my part. So now I dont know what to do. I'm being tortured by the bank. I've done an online expenditure on cccs and my outgoings are more than what I have coming in. I'm a civil servant. I earn £1062 per month but I am still trying to get my life back since 2008. I am also paying for a costly divorce as my ex has left me to pay for that too. In total I owe £18.5k. The loan I took from Ulsterbank is solely in my name but I could easily prove that at least £8k went towards her debt as I wrote the cheques to her creditors. I dont have any problem paying £40-£50 a month for 20 years if thats what it takes. I just really want to know what my options are. Can anyone help me?

System

JustinCredibleGillespie wrote: »

HELP!!Hi I also have a question. Hopefully someone can help me. I am in debt up to my eyes also. I took a loan from ulster bank for £16k in May 2008 to clear both mine and my partner debt. My partner turned very abusive around July 2008 just after all the cheques cleared to pay her debt. I couldnt take it anymore so I walked away from the marriage and havent looked back since. I paid the repayments on my own for 18 months @ £340pm without any help from her and I entered into an IVA in Sept 2009. The IVA failed on my part. So now I dont know what to do. I'm being tortured by the bank. I've done an online expenditure on cccs and my outgoings are more than what I have coming in. I'm a civil servant. I earn £1062 per month but I am still trying to get my life back since 2008. I am also paying for a costly divorce as my ex has left me to pay for that too. In total I owe £18.5k. The loan I took from Ulsterbank is solely in my name but I could easily prove that at least £8k went towards her debt as I wrote the cheques to her creditors. I dont have any problem paying £40-£50 a month for 20 years if thats what it takes. I just really want to know what my options are. Can anyone help me?

Hi JustinCredibleGillespie and thanks for your post.

I have answered this question in your private message to us. If you need any more help please ask.

Kind regards,

Mat

Rachel59

Hi i wonder if you can help?
I have been with a debt maganment company for nearly 2 years, i have recently increased my repayments to £400 a month, Total balance is about £28K but being told it will be still be approx 7 yrs to be debt free??? this totals £33600 im re-paying?? my debts have dropped by just over £2K in 2 years. i owe to 3 creditors with over 75% of my debt being with Lloyds TSB.I Feel this is progress but very very slow. I dont pay any fee's but pay £14 per month to be with thinkbanking RBS which the Debt company put me in touch with. Any advice is appreciated

mamasita_2

Hi

My husband has received a statutory demand for bankrupcy. This is in relation to a loan he took out some time ago for £5000 he had been paying the loan for a while and the bank phoned him and asked him if he wanted to increase amount to £10,000 as the interest rate had dropped and the repayments would be almost the same as the initial £5000 loan. He said yes but had to restart whole loan again. He has been struggling for a while now he is self employed. We had an arrangement with this creditor and we were paying £50 per month, however he had two companies go into liquidation on him and for a couple of months we had no income whatsoever!! unfortunately we missed the payments and when the company got in touch with us we offered to restart the payments. We were told that they would have to look into this and they would get back to us with an answer. I waited a month and as we had not heard anything from them I called them to see if his offer had been accepted. I was told that it was now too late as the file had been handed over to their liquidation department and we would have to wait to hear from them!! We have since received a "Statutory Demand under section 268(1) (a) of the insolvency act 1986. Debt for liquidated sum payable immediately. We could not pay the debt immediately and wrote again offering the sum of £50 per month. They have now written back refusing the offer and have now sent a bankruptcy petition to be heard on the 2nd August. What I would really like to know is if my husband can apply for an IVA and not have to go bankrupt or is it too late for that? Also if he is forced to go bankrupt would they force us to sell our house. we have 3 dependent children!! I would really appreciate any help you could give.

Thanks

System

Rachel59 wrote: »

Hi i wonder if you can help?
I have been with a debt maganment company for nearly 2 years, i have recently increased my repayments to £400 a month, Total balance is about £28K but being told it will be still be approx 7 yrs to be debt free??? this totals £33600 im re-paying?? my debts have dropped by just over £2K in 2 years. i owe to 3 creditors with over 75% of my debt being with Lloyds TSB.I Feel this is progress but very very slow. I dont pay any fee's but pay £14 per month to be with thinkbanking RBS which the Debt company put me in touch with. Any advice is appreciated

Hi Rachel59 and thanks for your message.

It’s always worth taking a second opinion on your position.

The first thing to do is visit our online debt advice service Debt Remedy (http://www.cccs.co.uk/ref/drcu) to help you find a solution to your debt problem quickly.

Debt Remedy will assist you in completing a financial statement with information on your household, employment, income, expenditure and debts. From this the service will automatically determine your options.

To help you fill in the form, it’s best to gather together information about:
• Your income
• Your expenditure
• The creditors you owe money to

You’ll receive a downloadable advice booklet providing a tailored solution for you based on your current circumstances and advice on ways you may be able to improve your situation.

If you’re not confident with computers or would like to speak to an advisor then you’re welcome to ring our free Helpline on 0800 138 1111. We’re open Monday to Friday 8am - 8pm.

If you phone us it may be possible to refer you directly to a counsellor for immediate advice. Alternatively, we will arrange for an appointment to be booked at a time convenient for you.

I hope this helps.

Kind regards,
Mat