Ask a CCCS counsellor a bankruptcy question

CCCS_Matthew

ash5896 wrote: »

hi sarah

thanks for ur reply
i have lived with my girlfriend ever since she bought the house,approx 2 years which was bought with al her own money etc. i had to sign some agreement that i dont have interest in the property or something along those lines. i have never paid towards the mortgage or had any debts with her she is debt free and it looks as if because of my disabilty and worsening health she may even have to give up her job to take care of me too.

the only unofficial agreement we had was that i would pay a share towards domestic bills which i have paid on and off mainly gas bill.
the other problem i have now got is my employer has agreed to pay me notice pay (3months) but the money is paid to a bank that i owe money too and my employer isthe bank in question so whatever they will pay they will take back.

unfortunately none of my ppi policies etc will pay as my disabilty was a pre existing condition they wont pay out. i have written to all my debtors but they not interested im coming to a point now where i cant sleep and think. my health was worrying me now the banks they were fine while i paid my debts and now i feel like no one cares. once your ill your on your own and because of my debts my girlfriend may have to pay the consequencies and lose her house because of me. please anyone help with any advice would be greatly appreciated. my girlfriend is willing to pay the BR fees but is scared in case they want her house. dont know anymore feel like i could end up osing evrything. can someone please point me in the right direction

Hi Ash.

If you've not contributed towards the mortgage then it's quite likely you don't have any beneficial interest in the property. I think as bankruptcy is quite a big decision to take, you would benefit from having an appointment with one of our debt counsellors. If bankruptcy is an option for you, it can be discussed in detail so you understand what to do and how it is likely to affect you.

If you want to call our helpline on 0800 138 1111 an advisor can book you a telephone appointment for you. Make sure you have information regarding your income, expenditure and debts as this will help you get booked in for an appointment much quicker.

Regards,
Matthew.

CCCS_Matthew

50broke wrote: »

Please could someone help. I am on a DMP with CCCS, but my husband has just lost his job and at 55 is finding it impossible to get another, therefore we are unable to pay the DMP. The house and debts are all in my name, and if I should consider bankrupsy what will happen to the equity in my house (approx 60K), my debts are 93K unsecured with a 207K mortgage. Any advise would be appreciated. We are trying to sell the house at the moment.

Hi there.

If your husband has lost his job it's important that you call us so we can review your situation. Without being able to see your figures infront of me I can't really say whether bankruptcy would be something to consider, but this can certainly be discussed when you call us.

Regards,
Matthew.

CCCS_Matthew

loopylou wrote: »

I hope somebody can advise me regarding my son.

He is divorcing his wife due to her unreasonable behaviour and has been living me with since the spring. His net income is about £1300 pcm out of which he is still paying the full mortgage of approx £1200 leaving him very little to pay for his car and living expenses. She is still in the marital home with their two children. She has indicated to her solicitor that she will pay half of the mortgage money to him (it is in both names) but as yet he has not seen a penny from her. As a result of this I am having to fund him each month.
His main aim is to be able to move into a rented property so that he can have access to his children as she will not allow them here...(her way of getting back at him ) but without money this is not possible. He has been advised that his best option would be to go bankrupt which will then free up his income to make a home. He has always been a very hands on father and not seeing them is causing great distress. He does not want to avoid his responsibilites regarding the children and is now at his wits end. The only other debt that he has is an overdraft with his bank as he has always tried to avoid credit cards. They owe the bld soc about £140000 but she refuses to even consider selling the house.

thank you
loopylou

Hi there.

If your son has no unsecured debts, what would he be actually going bankrupt for? Whilst his name still on the deeds to the property his bankrutpcty wouldn't include the mortgage. If the property has equity in it at the moment he wouldn't even be classed as insolvent so it wouldn't be considered an option by the court.

I think the real issue here is that he hasn't got the income to pay the full mortgage for a property he doesn't live in. He needs to really speak to his ex along with a solicitor and decide what they want to do with the house.

Realistically, if he can't/doesn't want to continue paying towards the mortgage then his ex needs to take legal responsibility of the mortgage. If she can't afford to do that on her income I suspect the only real option would be to sell the property.

If he is happy to contribute half towards the mortgage, then by all means he could look at doing this. I would suggest he would be better paying his contribution directly to the lender which puts more pressure on his ex to pay her half so he doesn't have to bail her out each month which clearly isn't a sustainable option.

Hope this helps,
Matthew

Susie54_2

Many thanks Matthew, I just couldn't believe it was a simple as phone and make an appointment!!
Roll on the time when the fee has been saved :j
Susie x

io17773

Hi i was advised to post this in here so some one would read this and give me some advice as my situation is not the ame as most

Here is my post in the other forum


Ok My debt
this is wierd one

Firstly i'm not in a great deal of debt at the moment and can afford to pay the monthly bills i have( explain in a bit ), yes i have a couple of credit cards ( as most people do ) and i owe aprox 3,000
Here is my problem

Me and my Wife owned 2 houses one of which we live in now as my residence no mortgage arears all bills payed

however the other house was a problem i had the tennants from hell in there and it took me nearly a year to get them out via court orders

to cut a long story short i called the Mortgage company and explained i was under great stress beacause of the tennents and was becoming quite ill aswell, and they advised of my options
1. put more tennents in ( Not after my last experience )
2. keep paying the mortgage ( couldn't afford 2 mortgages )
3. put it on the market ( good idea but would still have to pay every month )
or
4. hand it bank to the bank ( this sounded like a good option )
The bank advised me they would have my interestes in mind as it was not being repossed from me due to bad debt, but the fact that i was giving up the house to them. ( voluntary Reposession )
I basically made sure with phone calls and letters that i would not owe to much once sold. but did know i would have to pay somthing back

The house is now going for auction on the 30th of this month !!!! £35,000 less than the Mortgage value
The Bank reduced the asking price of my house every month they had it by £5,000

I don't have that and feel i have been well and truly Scr**ed by them

By the way it is the Bristol and west just to let you know

My questions are if we claim bankruptcy
would we loose the house me and my wife and kids are in now
there is no equity in the house we live in
and both the houses are in joint names

And what else do you loose ? we are more bothered about the house and the car of which we pay all the time and on time
The car is on finance

Any advise on what to do would be very very much appreciated

Thanks

Anthony

fiveyearplan

loopylou wrote: »

I hope somebody can advise me regarding my son.

He is divorcing his wife due to her unreasonable behaviour and has been living me with since the spring. His net income is about £1300 pcm out of which he is still paying the full mortgage of approx £1200 leaving him very little to pay for his car and living expenses. She is still in the marital home with their two children. She has indicated to her solicitor that she will pay half of the mortgage money to him (it is in both names) but as yet he has not seen a penny from her. As a result of this I am having to fund him each month.
His main aim is to be able to move into a rented property so that he can have access to his children as she will not allow them here...(her way of getting back at him ) but without money this is not possible. He has been advised that his best option would be to go bankrupt which will then free up his income to make a home. He has always been a very hands on father and not seeing them is causing great distress. He does not want to avoid his responsibilites regarding the children and is now at his wits end. The only other debt that he has is an overdraft with his bank as he has always tried to avoid credit cards. They owe the bld soc about £140000 but she refuses to even consider selling the house.

thank you
loopylou

Hi loopylou,

The most important thing for your son to do is have a clean break financially with his ex. He also needs to make sure he has good access rights to his children and that his ex doesn't dictate where he can see them! If his house was in negative equity (enough to mean he is insolvent) he could go bankrupt and his bankruptcy would be included in the BR. If the house isn't in negative equity then he isn't insolvent and BR wouldn't help his situation. The divorce should clearly stipulate his access and financial arrangements and both parties should stick to that. If they leave any joint finances it will almost undoubtedly lead to problems arising at a late date - we've seen it many, many times here on the BR board.
Let us know how he gets on or if he has any other questions.

loopylou

fiveyearplan wrote: »

Hi loopylou,

The most important thing for your son to do is have a clean break financially with his ex. He also needs to make sure he has good access rights to his children and that his ex doesn't dictate where he can see them! If his house was in negative equity (enough to mean he is insolvent) he could go bankrupt and his bankruptcy would be included in the BR. If the house isn't in negative equity then he isn't insolvent and BR wouldn't help his situation. The divorce should clearly stipulate his access and financial arrangements and both parties should stick to that. If they leave any joint finances it will almost undoubtedly lead to problems arising at a late date - we've seen it many, many times here on the BR board.
Let us know how he gets on or if he has any other questions.

Many thanks for the reply. My son went to the solicitors yesterday with his wish list asking for access through the week plus having them to stay over at a weekend. He also outlined the money issues stating that it would be in the best interest if the house was either sold or if she could arrange the transfer of the mortgage over to her. he has also agreed that if there is any equity in the property then when sold it can go over to her in full.
he then got a message from her last night and she has moved the goal posts yet again. She is not happy that he is divorcing her for unreasonable behaviour and wants it changing to irreconcilable differences.This is not poss as the nisi has just come through. She is now threatening to move to Edinburgh as she has managed to get a transfer there.The goal posts are constantly changing as she behaves like a spoilt child always wanting her own way. The reason the mortgage is so high is because of all the debt that she has run up throughout their marriage. She will quite happily leave and allow her children from her 1st marriage (now adults who are living there FOC) to remain in the property.She has alienated the young children and has told all and sundry that she is being thrown out of the house and that it is up for sale...all untrue. the young children have been told it so often that they believe her. She will still not agree to the house sale though. There might be a small amount of equity but in this time of houses selling slowly then it could take a very long time to sell if she ever agrees. My son is now very distraught at the thought that they might move to Scotland. Sorry to have rambled on but these times are very upsetting. I did suggest that he only pay half of the mortage direct to the Bld Soc but as it is in both names and he knows that she will not pay then it will go against him..he says that it is a matter of pride
thanks

fool_with_a_pen_75

Hi

Hope someone can give me some advice.

I am due in court next week following a 3 yr legal battle to disassociate myself from an old employer, unfortunetly I guaranteed various things (understanding it to be my name as a Company Director on behalf of the company when in fact I was giving personal guaranatees-niave, stupid, sucked in! Cutting a long story short I left company (disollusioned with management) and have spent the last 3 yrs to remove my name from guarantees without success. Company has been run into the ground by other Directors and I am now being made bankrupt by a loan they have defaulted on.

My question, I need to insure that the 2 other things that I am guarantor on will be wrapped into my bankruptcy, I have been advised that this is sometimes possible. As they are deemed potential creditors? Is this correct and how should I go about insuring that my OR (when appointed) will include them.

Really hope you can help, as you can imagine been to hell and back in last 3 yrs and now need to make sure that this does not happen to me again.

(The only way my name could be removed is if the other Director agreeded to it, and provided a replacement he owes me a lot of money; which legally I have tried to recover, to no avail; and is refusing to even get in contact, I am stuck in a legal nightmare!) So the above is the only way to enable me to move on otherwise I fear that I could be made BR again and again on the remaining guarantees.

Many thanks in advance.
FWAP

CCCS_Sarah

io17773 wrote: »

Hi i was advised to post this in here so some one would read this and give me some advice as my situation is not the ame as most

Here is my post in the other forum


Ok My debt
this is wierd one

Firstly i'm not in a great deal of debt at the moment and can afford to pay the monthly bills i have( explain in a bit ), yes i have a couple of credit cards ( as most people do ) and i owe aprox 3,000
Here is my problem

Me and my Wife owned 2 houses one of which we live in now as my residence no mortgage arears all bills payed

however the other house was a problem i had the tennants from hell in there and it took me nearly a year to get them out via court orders

to cut a long story short i called the Mortgage company and explained i was under great stress beacause of the tennents and was becoming quite ill aswell, and they advised of my options
1. put more tennents in ( Not after my last experience )
2. keep paying the mortgage ( couldn't afford 2 mortgages )
3. put it on the market ( good idea but would still have to pay every month )
or
4. hand it bank to the bank ( this sounded like a good option )
The bank advised me they would have my interestes in mind as it was not being repossed from me due to bad debt, but the fact that i was giving up the house to them. ( voluntary Reposession )
I basically made sure with phone calls and letters that i would not owe to much once sold. but did know i would have to pay somthing back

The house is now going for auction on the 30th of this month !!!! £35,000 less than the Mortgage value
The Bank reduced the asking price of my house every month they had it by £5,000

I don't have that and feel i have been well and truly Scr**ed by them

By the way it is the Bristol and west just to let you know

My questions are if we claim bankruptcy
would we loose the house me and my wife and kids are in now
there is no equity in the house we live in
and both the houses are in joint names

And what else do you loose ? we are more bothered about the house and the car of which we pay all the time and on time
The car is on finance

Any advise on what to do would be very very much appreciated

Thanks

Anthony

Hi Anthony,

You may benefit from having a telephone appointment with one of our debt counsellors, they will be able to help you put together a detailed budget and look at your options.

If the house has no equity, then sometimes the official receiver will not class this as an asset however the ultimate decision would be the official receivers.

If you would like an appointment then you could call our helpline free on 0800 138 1111.

Regards
CCCS

weebop88

i am on a debt management plan with yourselves and have been since july. the only problem is now that i cant really afford to make the payments and some of my creditors are still ringing me and threatening court action even thow they have told yourselves they agree to the payments. I have just been diagnosed with depression an the doctor has advised me that it is down to all this.

I was thinking of declaring myself bankrupt but dont no how i would even save the money i need to do this. or how to get the forms tried to get an appointment with citizens advise beuro but cant get an appointment until after xmas

who else can i go to for help looked into a debt relief order but they do not offer thenm in northern ireland yet i owe less that £15000 and i am claiming job seekers allowance

please help me