position after bankruptcy

hugovendeen

Told that my business will probably fold within the month.
Have an agreement already after pevious problems with credit card companies whereby pay cccs monthly
have never fell behind with mortgage etc
question I would like to know answer to is what happens if lose my business and where do i stand with signing on for unemployment or whatever benefits I would be entitled to?
would I be made homeless right away?

debtinfo

bump...........

nuttyp

if the mortgage is up to date, they wont automatically make you homeless. As for benfits, that depends on if your married, if they work? and any children.

The house you have, is it security on any finance? is there any equity?

depending on circumstance you dont always get your home repossessed after BR, all cases are different.

Hope this is of some help.

good luck

Surfman

You won't get made homeless if there is no equity in your house or if you cant afford to rent anywhere especially if you have kids etc.You will be entitled to benefits too as your contributions are made to the government and are not able to be accessed or turned into cash to pay your creditors.

RichesToRags

Benefits depend on family situation i.e. Do you have kids? If you're married does your OH work?

They also depend on if your NI contributions are up to date.

If you are entitled to benefits, the gov will pay interest on your mortgage, used to be after 13 weeks, don't know if this has changed with the current climate. And your lender may (should) let you change to an interest only mortgage.

coolcait

Surfman wrote: »

You won't get made homeless if there is no equity in your house or if you cant afford to rent anywhere especially if you have kids etc.You will be entitled to benefits too as your contributions are made to the government and are not able to be accessed or turned into cash to pay your creditors.

As it stands, what you have said is misleading at best. Maybe it just needs more explanation?

hugovendeen

Thanks for all the advice
Live with wife who is ( was ) part of business so doesnt earn any other wage. No kids at home. have fell a wee bit behind on nI stamps. Equity on the house is about 20 000 if able to sell in the market the way it is. I wouldnt be able to afford any rent anywhere else as business down so wont be earning. Have a plan afoot for the business as someone may come in and take over and then I may get reemployed as a manager so could be earning something within a few weeks. Wife mostly worried about where we would stay. Tax and services at the business door so as climate wont change dramatically in the next few weeks expect to go BR. Business and house is seperate though the OR will probably declare us personally BR as well I imagine to get the equity of the house?
Sorry all mixed up as that is the way my life is at the moment.

jellygirl_2

Just to say that if you go BR then you are not allowed to be a company director or hold a position of management within a company, in case you didnt know.

RAS

jellygirl wrote: »

Just to say that if you go BR then you are not allowed to be a company director.

Correct

jellygirl wrote: »

or hold a position of management within a company, in case you didnt know.

Not wholly correct. You are not allowed to operate as if you are a director, whilst being paid as a manager (shadow direcotrship). You can work in managment.

You would have to take advice from the OR.

RAS

hugovendeen wrote: »

Live with wife who

Equity on the house is about 20 000 if able to sell in the market the way it is. I wouldnt be able to afford any rent anywhere else as business down so wont be earning.

You need specialist advice. If the equity cannot be released quickly and the cost of renting is as high as the cost of the mortgage, you may be able to stay in the house.

With 20K, minus the discount for a quick sale, any redemption charges plus the sale fees. Then divide by 2. How much would be left? That is a rough idea of the BI in the house as far as the OR is concerned.