Heavily in Debt and need some help!

SoutheastRob

Hi,

Up till a couple of years ago me and my partner had a shared business which was a retail shop, we bought a house, bills got paid because he was always better at that sortta thing than me.

Then the recession hit, the shop couldn't afford me, so I left and started searching for a job. About a month later, I was informed that my partner was leaving me, with a weeks notice after 13 years and that was the end of that.

At that point I kinda spiralled outta control and into depression. Bills went unpaid, the debts mounted up, and in the end I lost my business, partner and house. I would estimate I owe close on £100,000+ or so but I don't know how mortgages work when your house gets reposessed so it may be more.

I now live with my sister and am in a position to try and sort my debts out, but I honestly don't know where to start. So I have a list of questions, and would appreciate any advice.

1 - I now live with sister, and I'm worried that when I start to contact debtors with my new address details, I'm gonna have debt collectors turning up or worse bailiffs. I don't want this affecting her, as she has been kind enough to put up with me and give me somewhere to live. I'm also concerned that this might affect *her* credit rating. Can anyone give me advice on this?

2 - I have an idea of who I owe money to, but nothing definitive. Is there anyway I can get a list of my debtors? Most of my paperwork was in the house when it got reposessed, so I don't have access to it at all.

3 - I have quite a lot of spare money at the moment for debt payment, mainly because I only pay £200 a month to my sister for rent. This leaves me with about 1000 pounds "free" obviously excluding day to day items like food, petrol, etc.

I eventually want to move out into my own flat, so I don't want to commit to paying a huge amount in a IVA or whatever and then find I can't afford to move out. So can someone advise me on this please?

Any help/advice would be very much appreciated.

Rob

Tixy

SoutheastRob wrote: »

Hi,

Up till a couple of years ago me and my partner had a shared business which was a retail shop, we bought a house, bills got paid because he was always better at that sortta thing than me.

Then the recession hit, the shop couldn't afford me, so I left and started searching for a job. About a month later, I was informed that my partner was leaving me, with a weeks notice after 13 years and that was the end of that.

At that point I kinda spiralled outta control and into depression. Bills went unpaid, the debts mounted up, and in the end I lost my business, partner and house. I would estimate I owe close on £100,000+ or so but I don't know how mortgages work when your house gets reposessed so it may be more. How long ago was this? how long ago was the house repossessed?

I now live with my sister and am in a position to try and sort my debts out, but I honestly don't know where to start. So I have a list of questions, and would appreciate any advice.

1 - I now live with sister, and I'm worried that when I start to contact debtors with my new address details, I'm gonna have debt collectors turning up or worse bailiffs. I don't want this affecting her, as she has been kind enough to put up with me and give me somewhere to live. I'm also concerned that this might affect *her* credit rating. Can anyone give me advice on this? Providing you have no joint financial products with your sister you cannot affect her rating.

2 - I have an idea of who I owe money to, but nothing definitive. Is there anyway I can get a list of my debtors? Most of my paperwork was in the house when it got reposessed, so I don't have access to it at all.
First thing I would advise would be to get a list of any CCJs that have been registered against you. You can do thos without trace by looking on the register trust online (£8 per address you search.)

3 - I have quite a lot of spare money at the moment for debt payment, mainly because I only pay £200 a month to my sister for rent. This leaves me with about 1000 pounds "free" obviously excluding day to day items like food, petrol, etc.

I eventually want to move out into my own flat, so I don't want to commit to paying a huge amount in a IVA or whatever and then find I can't afford to move out. So can someone advise me on this please?

Any help/advice would be very much appreciated.

Rob

You could get a copy of your credit files to find out what is on them but need to be aware that this will mean your creditors will find you and could start hassling you (which is why I suggest the registery trust first).

I would advise you to also contact one of the debt charities. Given the amount of debt you have and the lack of assets it may be that bankrupcty would be the best option for you. Never an easy decision but if you owe £100k+ you will struggle to repay it on a take home pay of £1200.

SoutheastRob

>At that point I kinda spiralled outta control and into depression. Bills >went unpaid, the debts mounted up, and in the end I lost my business, >partner and house. I would estimate I owe close on £100,000+ or so but >I don't know how mortgages work when your house gets reposessed so it >may be more.
> How long ago was this? how long ago was the house repossessed?


It was about a year or so. Unfortunately, I'm one of those people that stuck their head in the sand and ignored it all...now I'm back on my feet again and wanna get it all sorted out. How does reposession work with regards to the Mortage? I mean we had a mortgage and a second mortgage that my partner took out to pay off some joint debts, so I don't know how that works with regards to the house being reposessed and sold off?


Rob

gonzo127

when it comes to repossesion the general 'idea' is that the bank owns 100% of the house, it then sells it (usually via auction) and all the money made from the sale is put against the mortgage debt, if the sale is not enough to 'clear' the mortgage then you in theory still owe this

these should hopefully help explain in regards to the repossession

http://www.housingrepossessions.co.uk/house-sold-for-more-than-arrears-what-happens.html

http://www.housingrepossessions.co.uk/liability-for-mortgage-shortfalls.html