Voluntary Repossession?????

MrSJC

Hi All

Sorry if ive placed this in the wrong area but I have a question regarding my PB and my house.

Ive been declared bankrupt since June and we (wife and 2 daughters) have moved out of our mortgaged property that is solely in my name. We found a rented house we love, near to the girls school, and moved out.

Our house was on the market and all was going well until the purchaser lost her job and the whole thing ground to a halt. (HSBC have appointed Price Waterhouse Coopers as the IP and they are totally rubbish - delaying the original sale by about a month).

Im not bothered about the house and cannot afford to keep up the insurance and council tax bills so im considering voluntary repossession. Anyone have any advice or experience with this?

Thanks in advance.

Cheers Smn

Leesmom

I am quite sure even if you decide to vol reop the house you will still be liable for the council tax after 6 months but at a reduced rate, you need to let them know you are not living there as you dont need to pay at all for the first 6 months, also you need to keep the buildings insurance in place right up until its sold, someone with more experience on these matters will be along and answer your questions, i am just reiterating what i have read on other threads.

MicheH

We have had our house repo'd voluntary just last week. It was a very stressful process that took 3 months of contradictory phonecalls/letters 'not received' and down right lies to me. Lender's policies about how they would accept vol rep seem to differ, my experience was with Northern Rock.

It all stemmed on there wanting me to sign their deed of acknowledgement. Now because of this forum I knew that it would mean that come the sale of the house, if tere was any shortfall I would have to become liable for that and create another debt even after bankruptcy, very scary and my lender tried to get me to sign it every which way they could. Be very careful.. they lied about what the form entailed.. infact do not sign any form regarding Vol Rep!

We actually vol rep by simply sending a letter stating 'we wish to surrender our property' and that date it was empty from. It can be done but in my experience they try to wear you down so you'll give up and sign their form, take the risk. In actual fact they're desperate for you to vol rep because they save on costs in taking you through the courts so you have to feel you have the upper hand at all times and stay strong, you're giving them what they want, just they want it on their terms but you can vol rep on your terms.. i.e. sign nothing!

As for council tax as previously said you will get 6 months exemption from the date it was empty, after those six months you would have to pay it at a reduced rate, 50% I believe.

The same about the insurance, in your bankruptcy you would have signed somewhere to say you will take care of assets, therefore ensuring the buildings insurance is in place will do this for you.