Debt Help

BROWNBEAR_3

Hi,I have just joined and am looking (desperately)for advice on debt.I was until recently self employed,but ceased trading in August.I have now got debts of around 43K,mostly to one bank,who are now putting pressure on me for repaying them.I have a full time job,but no real spare cash to make the repayments they want.I have been to cab and national debtline and got conflicting advice.My wife has also been to cab,who have told her she could lose the house,which is purley in her ownership.She has been here over 20yrs,I have only been about 8yrs.This is causing even more stress and talk of divorce etc.The debt is 100% mine,the house and all the payments towards upkeep etc is all hers.Has anyone any advice??.I would appreciate any help as I really don't know which way to go.If I go bankrupt,do we loose the house and marriage?.

Biffa

Welcome to MSE! Well done for taking the first step to sorting it out.

Can you post a SOA showing your income and outgoings, as well as balances on each debt & APR's so we can help as much as we can? Bankruptcy is a drastic option (been there, done that etc etc), but if the house is in her sole name and YOU go bankrupt, the OR cannot take another person's property to pay your debts.

Post a SOA and we'll take a look.

rog2

Firstly - if the debt is wholly yours, and, unless you have recently 'gifted' it to her, the house is wholly on your wife's name, then it is highly unlikely that you will lose the house. I assume that none of the debt is secured against the house.
As Biffa says - post your SOA and we'll see what advice we can offer.

BROWNBEAR_3

Biffa wrote:

Welcome to MSE! Well done for taking the first step to sorting it out.

Can you post a SOA showing your income and outgoings, as well as balances on each debt & APR's so we can help as much as we can? Bankruptcy is a drastic option (been there, done that etc etc), but if the house is in her sole name and YOU go bankrupt, the OR cannot take another person's property to pay your debts.

Post a SOA and we'll take a look.

thanks,this is all new to me,not too clever on the computer,and have never been in a chat forum in my life.Not quite sure what to do,and what does soa stand for?

pms

SOA is Statement of Affairs all you incomings and outgoings.

If you post this then more people will be able to help you there is a sticky post at the top the page by southernscouser that has everything in it you need to help you write your SOA

Good Luck

BROWNBEAR_3

IN REPLY TO YOUR POSTS FOR MORE INFO ABOUT MY DEBTS,THEY ARE AS FOLLOWS;
NATWEST LOAN

---

£28,412.99
" " OD

---

£4,736.66
CO OP LOAN

---

£5,500
CREDIT CARD

---

£4,900 APPROX
CLYDESDALE &
HALIFAX OD'S

---

£1,350.


MY MONTHLY INCOME IS £1,I37.00 TAKE HOME AT THE MOMENT.


MY EXPENDITURE IS AS FOLLOWS

HOUSEKEEPING £520
INSURANCE £48
TV £21
VAN LEASE £161
CO OP LOAN £106
CREDIT CARD £150
FUEL ETC £160
CLOTHING £20
LIVING COSTS £120

THESE ARE THE BEST FIGURES I CAN SUPPLY RIGHT NOW.i HOPE THEY ARE OF USE IN TRYING TO HELP ME FIND A WAY OUT OF THIS MESS.THANKS IN ADVANCE.

anniestar

Welcome to the board. There are fantastic folk who will be able to give you specific advice. You will get loads of support . Well done for posting.

chevalier

A couple of questions, would I be correct in assuming that the £520 house keeping is your share of the utility and other bills associated with the house?

You say that the debt is wholly yours, but does this mean that none of it was spent on your wife?

You have nothing here for car tax, servicing, birthdays, xmas spending etc (if you can work it out, you then divide whatever the yearly total is by 12 to get a monthly figure.

Your outgoings total £1306 which is a negative difference of £169 per month. So you need to cut back. (Like you didn't know that). Can your OH sub you for a while so that your figures balance? I am a bit confused about how, between you, you organise your finances? It seems like they are very separate? Just to note that your van lease costs almost the same as your deficit, can you give the van back to the leasing company and free up this money? Ie do you need it now you are not trading?

I would suggest that you contact CCCS or Payplan on Monday who will give you FREE advice. Once you have sorted out a date for them to do their telephone interview about your finances, then you can write to your creditors, saying you are setting up a DMP (Debt Management Plan) and then offer token payments whilst this is going on. Most will play ball with this.

Hope this helps and sorry it is so long!
chev

fatbelly

Hi Brownbear

Depending on your circumstances, the Official Receiver could consider you to have a "beneficial interest" even if you are not named on the mortgage. This is a complex area. If you have made a direct financial contribution towards the property, you may have a beneficial interest. Direct financial contributions which could count include:

· payment towards a deposit
· paying some of the capital due on the outstanding mortgage
· regular and substantial contributions towards the regular monthly mortgage payments

Indirect financial contributions which are not paid directly towards the purchase of the property are less likely to create a beneficial interest, for example, payments towards household bills and other expenses.

If someone is willing to buy your beneficial interest in the home they should contact the Official Receiver or the trustee who is handling your bankruptcy. The Insolvency Service runs a low cost conveyancing scheme to organise the transfer of your beneficial interest to someone else. There are various fees to pay to cover the costs of this. You will also have to agree with the Official Receiver how much your beneficial interest is worth before this can go ahead. For details of this scheme there is a leaflet called "What will happen to my home?" available from the Insolvency Service.

How come the CAB and National Debtline gave different advice? What did they say?

beverleyhills

Welcome to MSE. Sorry that I haven't got the expertise to help you. Stick with the people asking the questions. It can seem a bit intrusive sometimes to a newcomer. They will help you see your way through this problem.

Good luck

Biffa

Morning All,

Like the others have said, there's nothing on your SOA to cover birthdays, mot, car tax etc etc. You've also not put how much you pay each month towards your Nat West loan & overdraft or your credit cards. I'm assuming the van is something you need for work at the moment?

You've also got £520 a month for housekeeping and £120 for living costs? What does the living costs cover? Is it for buying lunch at work?

I don't mean to sound rude, (it's early in the morning, first cup of coffee etc) but what on earth was the £28k loan for? Have you bought something that you can sell to raise capital to clear some of your debts?

Without knowing your circumstances, would it be possible to set up a basic bank account with somewhere like the Co-op so that your wages can go in there? They won't then get eaten up by an overdraft. You can still use online banking etc with a cashminder account, so it might be easier. Do you get any WTC or does your partner get them? Do you have any children living at home?

It may also be worth you speaking to somewhere like PayPlan or CCCS for some advice as well.