5 kids and 40k plus in debt whats best to do?

pimpki

Hi everyone, posting here is last resort as all the agencies are advising me based on what they can gain and cant give me legal advice.

I have 30k worth of loans, credit cards etc, plus a car on finance with 15k left on agreement (car not even worth this much) I have kept up with car payments but nothing else really. Interest has now stopped on all cards and loans and been passed to debt agencies who are constantly hounding me. Dont know what to do.
Reason for not being able to afford anymore is through divorce. Debt spiralled with legal fees and i lost my job.

My home was never in my name was always in the husbands as was another property, the court awarded him the other property and an order was made that the house with 40k equity if im lucky in this market is mine. I however couldnt get the mortgage transferred it has to stay in my ex husbands name until i can sort my credit out which he has said he doesnt mind. I however pay £800 a month for the mortgage which i use my tax credit and maintenance for. The house is my main bill priority. I can afford to pay mortgage, gas etc and food bills but thats it.

Ideally I would like to go bankrupt and hand my car back, how would this work with my house though? because there is an order saying the equity in the house is mine but the mortgage is in ex husbands name could they still take the house and sell it? i am worried sick? also can they take my furniture etc if I go bankrupt?

Any help would be much appreciated, my children have gone through enough without losing there home too .

boredofbeingathome

Hi and welcome to the boards.

First things first.

Have you spoken to CCCS or CAB? You can fill an online form in for debt remedy with cccs and that may help.

You could also post up a SOA on here and we could have a look at this and help you cut back etc. There is a calculator to help you do this at the top of the board. https://www.whatsthecost.com

There are a few things you could consider.

If the car is on HP and you have paid over half you can usually hand it back.

Is the mortgage on interest only? If not that may be an option to convert that for a year or so to help your repayments.

Are you claiming everything you are entitled too?

Have you been given the options to consider re DMP, IVA or Bankruptcy?

Sorry to chuck so much at you. Keep posting and we will all do our best to help.x

Sorry meant to put this link on http://www.makesenseofcards.com/soacalc.html Have a look at southernscousers sticky at the top of the forum too.

pimpki

Thanks, I have phoned round and all are saying iva or bankruptcy, I am pretty sure i want to just go bankrupt and be done with it but my main concern is my house although it is in my ex husbands name, there is a note of interest on the deeds for me and the court have awarded me the house which i am meant to transfer into my name as and when i can which may be another 6 years yet. Im worried the OR could make me sell it.

I have cut back on everything down to food and clothes for the kids, put gas and electric on metres etc so im not getting bills i cant pay.

My car is only 18months into a 5yr agreement also but im assuming if it was viable i could hand it back and roll any more i owe on it into bankruptcy agreement.

Thank you for your reply x

Valli

Hi pimpki

you need to contact CCS or CAB as Boredof... has said
and do a statement of affairs too.

keep posting

Charliebrown

Many thanks, for reply, have just one further question, if someone can answer, they also said in this letter "If I want a copy of my personal information, send my request along with an administration fee of £10.00 and a stamped addressed envelope to the above address". How cheeky is that, surely I only need to send a CCA request, with the statutory £1.00 postal order?.
So I think I will send of a CCA request first, to verify exactly what account they are refering to, how old it is, & whether it is mine or not. Nothing lost there then apart from a £1.00 postal order, actual cost about £1.50, not the £10.00 that there asking.