A few questions.....

sparky25

Hi guys,

Been on here since Jan this year. Still haven't done the deed.

My unsecured debt totals about £14k. Some days I'm adamant that BR is the only way forward but the next day the thought of losing my home terrifies me.

I know the OR isn't interested in secured debt so I may have the opportunity to keep my house. I guess I'm thinking that to go BR for £14k seems pathetic so may as well go BR for the whole lot, house included.

If I were to go BR for just the £14K, do you think the OR would let me keep my house if (including tax credits) I would be bringing home £2000 approx with mortgage payments and secured loans totalling £1200 a month.

I am a single parent with 3 kids and we would be surviving on £800 a month (which is a lot more than we are surviving on at the moment).

Rentals in my area are in the region of about £950 a month and I guess I'm worried that the OR will view this as £250 a month that I could either live on a bit more comfortably or put towards an IPA.

The figure of £1200 a month includes arrears which would clear by Christmas. This would then bring my monthly payment down to £1000.

Any advice please.

peachyprice

Hi Sparky,

Do you have any equity in the house?

£250 more than renting isn't a huge amount, especially if it's going down to £1000 at xmas.

The OR cannot make you move out of your house without a court order, so if they were going to be really nasty and force you out they would have to prove to a judge that the £50, as it will be by xmas, is worth turfing you out of your home for, as you can imagine they wouldn't get much support from a judge.

HTH

sparky25

Hi Peachy, thanks for the reply. House is in negative equity by about £15-20k so I feel pretty safe there in terms of the OR not being interested due to the shortfall.

Just not sure how much of a difference between mortgage and rent would be taken into consideration by the OR.

I start to fill the forms in then lose the courage to continue.

I received a payout from 2 banks as I claimed under the financial hardship on bank charges. I used part of these to get my mortgage back on track. Will the OR penalise me in any way for not using this money to bring my unsecured debt up to date.

I got as far as cancelling all my direct debits last week just before my pay day (in the process of filling in my BR forms). I have now received a letter from one of them saying that as I have broken the terms of my agreement, the full amount of £3100 is now due. Can somebody please tell me what the worst this company can do. I understand that they can take me to court and I would received a CCJ, but what are the implications of this?

Sparky