what happens next???

pink-lint_2

well ive finally cancelled the mortgage DD .

quick update-

OH went BR oct 27th (i didnt need to)

OH was discharged may 13th


we are still in our mortgaged house. which is in joint name.

ive cancelled the DD hoping to either go into council or private rent after 6 months saving of mortgage payments.

we havent bought the BI yet.

the house is in neg equity about 20-30 grand.

what would the OR say about this or do we not need to say anything??

do we just sit tight now and have the calls of abbey all over again asking for money.

it took them 7 months to close bank account.:rolleyes:

ive read on here not to sign any thing.

is there anything else we should know..

i know the debt will fall to me afterwards, and i would go BR then.(i dont work and have no debts )


any advice would be great . thanks

stintond

not sure about the neg equity situation.
About the unwanted phone calls , there is service from bt called "choose to refuse" ,you can use it to stop specified numbers from calling you

tigerfeet2006

The OR will not be interested untill the property has been sold and you have a shortfall, at that point you let your OH's OR know what the shortfall is.

Untill then you just need to sit tight and save for your deposit, rent, moving costs and your BR fee's.

clanbailey

hiya had my house repossessed and it had 30-40k neg equity on it, but I stopped mortgage payments as soon as I decided to let it be repossessed and in all 9 months for them to repossess the house, as first it was phone calls and letters this went on for a couple of months. Then I told them I could not afford the mortgage anymore and they said it would be referred to their legal team again another couple of months to go through then eventually the court letters for repossession hearing which was a few weeks in advance, went to court and said let it be repossessed as couldnt afford it anymore and the put an eviction time on for 28 days - you then get the eviction notice THEN it is another 4 weeks until the actual eviction warrant is served and they can remove you if you are still there. So as you can see you will have a bit of time to sort yourself out - get down the council offices, we did this when we got the court info as they then put you on a fast track, though we found a private rental soon after which we were over the moon with but it is actually a painless process as long as they dont think you have done it on purpose etc.

To start with ignore calls and letters to buy you some time - and ignore them when they are arsey with you.

hope it goes well for you :O)

clanbailey

sorry forgot the neg equity bit!!!

as long as you DONT sign anything from the mortgage company as you should have nothing to sign the neg equity will go in your br. The property details go on your br forms and I just stated it was being repossessed and guesstimated the neg equity and its then all taken care of by OR. Our house sold 2 months ago and I have heard nothing from mortgage company after repossession so all good

pink-lint_2

thanks clanbailey my OH has already went BR and i will do so once i need to with the shortfall and all.

did you do your house after BR or before.?

OH is really worried that it wont be added to BR now hes discharged!!

he was mortified yesterday when i told he i'd cancelled the DD. but we need to save for deposit.

we just want rid of the responsibility of mortgage?
is this a good enough reason????? plus when deals up theres no way on earth we could afford the payments so whether its now or 3 years?

will the OR be mad OH has waited to do this and add it to BR , or will he have to go BR again??


sorry for the wobble just hope im doing the right thing!!!

clanbailey

hiya pinklint

our house was repossessed before we went br - infact 3 months before - it was sold only recently after we were br.

it wont be able to be entered into your OHs br as that needs to be done when filing, however if you are going to go br then put it on yours - aaaaaaaaahhhhhhhhhh stop there let me re read your first post......................

right the mortgage is in joint names.... didnt your OHs OR have interest in the house? from what I know if one person goes br then the mortgage debt is then put on the other person on the mortgage, therefore I THINK with you going br your OH will then become responsible for the negative equity :O(

the thing with my situ is that both me and OH went br at same time so responsibility could not be passed onto one or the other.

I would suggest that he speaks to OR about it but maybe will have to go br again - see what they say. If the house was in just your name you could include it on your br and all sorted.

let us know how you get on but I think that a phone call with sob story to OR is defo needed

dont worry about any wobbles I had many many many of them :O) you need to have things clear in your mind before you commit to anything

pink-lint_2

clanbailey wrote: »

hiya pinklint

our house was repossessed before we went br - infact 3 months before - it was sold only recently after we were br.

it wont be able to be entered into your OHs br as that needs to be done when filing, however if you are going to go br then put it on yours - aaaaaaaaahhhhhhhhhh stop there let me re read your first post......................

right the mortgage is in joint names.... didnt your OHs OR have interest in the house? from what I know if one person goes br then the mortgage debt is then put on the other person on the mortgage, therefore I THINK with you going br your OH will then become responsible for the negative equity :O(

the thing with my situ is that both me and OH went br at same time so responsibility could not be passed onto one or the other.

I would suggest that he speaks to OR about it but maybe will have to go br again - see what they say. If the house was in just your name you could include it on your br and all sorted.

let us know how you get on but I think that a phone call with sob story to OR is defo needed

dont worry about any wobbles I had many many many of them :O) you need to have things clear in your mind before you commit to anything

i think hes got 3 years to add it in to his BR.

not sure mind, im just trying to get things straight

i wont be going BR till the house has been repoed and all done, cos i only have 1 debt for my tv HP about £1000 not really worth going BR yet.

clanbailey

ah cool but definately get him to speak to his OR saying you cant afford the house and what will happen if it gets repossessed

good luck

pink-lint_2

the thing is on his SOA form our mortgage payments are 557 and we would pay about 550 private rent , so its not that we cant afford to pay. because we can .
its the fact the mortgage deal will end in 3 years and will never be able to re mortgage because of the BR ... so therefore will lose house anyways, now or 3 years time.

so i dont know what OR would say about this ????

i think it would be frowned upon as its creating more debt??? but im not sure

hopefully we can get a council house which is what we would prefer , weve been on the list since september,

thanks pink

fermi

It is definitely covered.

If my house is sold sometime after the bankruptcy order is any shortfall on the mortgage still a debt in my bankruptcy?

A debt which is secured by a mortgage or a charge on a property is still a provable bankruptcy debt. The mortgage loan company is "a secured creditor" which means they have rights over an asset, the house, and can require the asset to be sold to pay their debt. These rights are not affected by the bankruptcy.

On the making of a bankruptcy order the mortgage loan company could make a claim in the proceedings but, unless it wished to give up the security, could only claim for any (estimated) shortfall.

If you continue to live in the property it is likely that you will continue to make payments to the mortgage loan company to avoid the property being re-possessed. When the property is eventually sold any shortfall shortfall to the mortgage loan company is still a provable debt in the bankruptcy, even if you have been discharged, as you are released from the debt on discharge.

Your bankruptcy does not affect the obligations of any joint owner who has not been made bankrupt to repay the mortgage loan debt or any shortfall, as they are still liable for the whole of the debt.

After the date of the bankruptcy order the mortgage loan creditor may ask you to sign a "deed of acknowledgment" of the outstanding debt. If you have signed such a deed the mortgage loan creditor can take action against you to recover any shortfall following the sale of the property.

Probably best to tell his OR just so they know what is happening, or is likely to happen.

There is nothing they can do about it at the moment since the full liability now falls to you.

Once you are BR yourself and the property is sold, then if the lender makes moves to recover the shortfall you can simply refer them to your OR.