ex has gone bankrupt and we have joint mortgage!

raquel39

I am in a really horrible situation, my ex has gone bankrupt in the uk, have been told by receiver that if i sell the house which i cant afford, that any proceeds go to the creditor, if there is a shortfall i must pay, or go bankrupt myself, should i go for voluntary repossession, or sell my house privately either way, could result in the creditors chasing me. It could take months to sell privately. My credit rating is very poor anyway as the bankruptcy is based on the house. Please could you advise me, any help would be appreciated. Why are they chasing me for the money seems unfair.

copier_guy

Welcome to MSE:j

Are you in the UK and the house too?

immoral_angeluk

There's not really a lot you can do. If your ex goes bankrupt you are liable for the whole mortgage, or the shortfall if it is sold. That's the joys of joint finances I'm afraid.

raquel39

copier_guy wrote: »

Welcome to MSE:j

Are you in the UK and the house too?

Yes i am in the house at present, feel like handing the keys back to the mortgage people at present.

raquel39

thanks for your messages, atleast i can make some informed decisions.

immoral_angeluk

Are you not able to pay the mortgage?
Without knowing your circumstances it's difficult to say but if you're on JSA or income support you may get help with mortgage interest payments...

copier_guy

As IA says really,

Joint finance means jointly and severely.
Is the house in negative equity?

raquel39

i can pay most of the mortgage, but as it is interest only i am really not sure whether i ought to cut my losses and move out. I am not on any benefits i work full time. Very icky situation but i dont want to bury my head in the sand.

immoral_angeluk

raquel39 wrote: »

i can pay most of the mortgage, but as it is interest only i am really not sure whether i ought to cut my losses and move out. I am not on any benefits i work full time. Very icky situation but i dont want to bury my head in the sand.

Whats your credit file like? Any possibility or remortgaging to reduce the monthly cost? Any equity in the property?

raquel39

I think the house may make a small profit, but that will go the receiver, and i could be chased for the rest, he told me to go bankrupt myself, i wont even be able to use my bank account. My ex has a post office account at the moment as noone would let him have a current account

peachyprice

If you can afford the mortgage and want to stay there your ex's BR won't make any difference to you. The OR won't have any interest in the house as there's no equity. It's only an issue if you want to sell it right here and now or if you can't afford/don't want to stay in the house. Just because it's in negative equity now doesn't mean it always will be.

Ideally what do you want to do.