Bankruptcy Terror

Poppster

Hi,

I'm not really sure where to start but I guess the beginning is the best place! I bought a leaseold flat about 6 years ago and never missed a payment on the mortgage although I wasn't so good with everything else. Then my freeholder managed to cause about 50k's worth of damage to the property through neglecting a leak to the roof (the building is nolonger structually sounds and the insurance company won't cover it as it's freeholder negligence). I have seen numerous solicitors and because he is on the dole I the likelyhood of suing him with any success is less than 0.04%. So I've been advised to go bankrupt.

To be fair this does seem like the best way out as I'll probably end up owing the mortgage company at least 80k if they sell it at auction plus any other creditors so maybe 100k in total. A few weeks ago I got a letter from the mortgage companies solicitors saying they were going to repossess which is fine but as I was going into hospital I asked for another 4 weeks before they began proceedings, which they accepted. However, now I've moved they've gone ominously quiet!

I'm still paying all the other creditors but to be honest I know I'll be going bankrupt in another couple of weeks/months so don't really see the point. I'm going bankrupt what else can they do to me that will be worse! My solicitor seems certain that I won't have to make payments for three years (sorry, don't know what its called) as the money I earn wouldn't go anywhere near clearing the debt. But I'm not so sure, I've got to the point that I'm terrified of the postman and what he's going to bring.

I don't really know what I'm after from this, I was just hoping maybe there was someone out there that had an experience like this and could offer an insight as to what will happen. I can't keep asking the solicitor as they just keep charging and it's going to be about 2.5k to go bankrupt as it is!

Sorry for the rambling post but if anyone has any advice I really would be greatful. I just want to get my life back and stop being permanently worried about what will happen.

Thanks

curly04

Not sure myself
Board is a little quiet today but someone will be along later who will be able to help

Good Luck

Curls

cuddlymarm

Hi
Probably the best thing to do is have a talk with one of the debt charities (citizens advice were very helpful with me) They will be able to explain what you need to do and the main thing is reassure you that its not the end of the world.

The worry is the worst part
I hope this has helped a little
Cuddles:)

beentheredonethatstilhere

It won't cost you £2.5k to go bankrupt, it costs you £600. Stop using the soliciter for advice and talk to one of the FREE debt charities. Click on the red link in my signature and read the first post for a list of links and numbers. The money you owe your soliciter can go in to the bankruptcy.

Stop paying your creditors and save the money for your fees and go bankrupt. You don't have to wait for the house to be repo'd before you do.

Poppster

Thanks, I didn't realise you could do it without a solicitor! My only fear is going to court but I bet everyone feels the same way. I'll be giving these guys a call tonight.

Thanks for your help!

confused76

court isn't as scary as you think - i was terrified on the day but there was absolutely no need, the staff were friendly and it was over in less than 2 hours (mostly spent waiting)

as advised above get onto a debt charity and stop paying your creditors if you're definitely going br

good luck, come back and ask anything you need help with

Poppster

Thanks for all the support, I spoke to one of the charities last night and they were adament not to go through the solicitors and so helpful and reassuring.

I'm going to print all the details off and get the ball rolling as soon as possible. The sooner I get it started the sooner it'll all be over!

Just hope I end up being as brave as all you guys doing it on your own!

confused76

that's good news, glad you've taken advice

you can do it - post any queries up here, we're here to listen as well x

mackenzie03

I am so glad that you have spoken to the debt charities, as already advised I would stop paying the creditors if bankruptcy is definitely the route you are taking - the longer you pay the longer it will take to save for the fees. Once the house is repossessed DO NOT sign the acknowledgement of shortfall - in fact do not sign any correspondence from the mortgage company - reason being if you sign after the date of bankruptcy this will not be included in the bankruptcy and you will still be liable - not signing means this deficit in mortgage will be included. I am trying to have my house repossessed as a voluntary repossession but my mortgage company are really slow - I spoke with my receiver who has told me not to sign anything from them.
I hope this helps and I wish you all the luck for the future.

X

curly04

Hi
Yeah I agree with everyone, I went to court and the staff was lovely!
I didn't even get to see the judge.

We are here to offer you help and support, I to had my house repo'd so if I can help you I will

Cheers

Curls

Poppster

Well, I've printed all the forms off and just waiting for the court to call me back to make an appointment. Fingers crossed it'll be soon and I can get this ball rolling.