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Bankruptcy and our house.

cosmic_dave
cosmic_dave Posts: 46 Forumite
in Bankruptcy & living with it
We are £2000 in arrears and have about £18.0000 in neg equity on our house. What will happen when we go bankrupt with this ???

Comments

  • debtinfo
    debtinfo Posts: 7,012 Forumite
    Quick question first, do you want to keep the house, can you afford the mortgage and any charges/secured loans monthy payments
    Hi, im Debtinfo, i am an ex insolvency examiner and over the years have personally dealt with thousands of bankruptcy cases.
    Please note that any views i put forth are not those of my former employer The Insolvency Service and do not constitute professional advice, you should always seek professional advice before entering insolvency proceedings.
  • cosmic_dave
    cosmic_dave Posts: 46 Forumite
    debtinfo wrote: »
    Quick question first, do you want to keep the house, can you afford the mortgage and any charges/secured loans monthy payments
    we could afford the mortgage that's about it. would love to keep the house but don't suppose we will be able to :(
  • debtinfo
    debtinfo Posts: 7,012 Forumite
    If you can keep any charges on the property happy and it is in negative equity the the OR will allow you to buy back the house for £1 plus some legal fees
    Hi, im Debtinfo, i am an ex insolvency examiner and over the years have personally dealt with thousands of bankruptcy cases.
    Please note that any views i put forth are not those of my former employer The Insolvency Service and do not constitute professional advice, you should always seek professional advice before entering insolvency proceedings.
  • cosmic_dave
    cosmic_dave Posts: 46 Forumite
    debtinfo wrote: »
    If you can keep any charges on the property happy and it is in negative equity the the OR will allow you to buy back the house for £1 plus some legal fees
    The national debt line were talking about selling the neg equity to a family member so the OR wouldn't look at the house. OH its all very confusing
  • Zevon
    Zevon Posts: 14 Forumite
    I was in a similar situation, you would only have to sell equity in your house to a family member. our mortgage was in joint names so the OR only had a share in my half, and as the house was in negative equity it was a share of nothing. As such it cost £1.00 to keep my name on the mortgage. But you still have to pay your mortgage and any secured loans.
  • losingbigtime
    losingbigtime Posts: 112 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    I was going to ask a similar question to this - I am currently on a DMP but am struggling with this. I have £50,000 debt in my name only which is all on the CCCS DMP. I have a joint mortgage with my partner with £90,000 outstanding on the mortgage plus a secured loan of £25,000 taken 4 years ago in favour of First pLus. The house is worth around £105,000 therefore putting us in negative equity. If I were to go bankrupt what would be the position on the house? My partner cant afford to take on the mortgage on his own, we could still pay the mortgage and the secured loan, if I didnt have to ay the monthly repayments on the other debts - any advice please if bankruptcy should be a way forward for me? At the rate I am paying into CCCS DMP at the moment it will be 17 years before I am debt free, and thats only if all the creditors agree to freeze interest. Many thanks./
  • tigerfeet2006
    tigerfeet2006 Posts: 14,030 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    If you can afford the mortgage and secured loans and the payment is not to much more than a rented property then your OH will be able to buy the OR's right to any future equity for £1 plus £211 fees.

    Ring CCCS and talk to them about BR.
    BSCno.87
    The only stupid question is an unasked one
    Loving life as a Kernow Hippy
  • losingbigtime
    losingbigtime Posts: 112 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    thankyou :o I need to look into it more really, does the OR ask for previous bank statements etc?
  • philnicandamy
    philnicandamy Posts: 15,685 Forumite
    10,000 Posts Combo Breaker
    losingbigtime wrote: »
    thankyou :o I need to look into it more really, does the OR ask for previous bank statements etc?


    they will yes...usually 1 to 2yrs worth..but can go back further if they want to
    We all die. The goal isn't to live forever, the goal is to create something that will
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