BR or Not BR... this is the question?

HateBanks

We are 10 weeks in (Wow - that went quick!!) and I must say at the moment it seems to be the best thing we ever did, wish we had done it years ago. Ther are figures to play with on your SOA, I have to go out in a minute, and I dont have time, but some kind soul may post a link up to the 'guidelines' the OR uses. Dont forget to claim for things like glasses or dental treatment, as has been said set your groceries on the higher side, he/she will only ask you to reduce if needed! Good luck.

lala9

HateBanks wrote: »

We are 10 weeks in (Wow - that went quick!!) and I must say at the moment it seems to be the best thing we ever did, wish we had done it years ago. Ther are figures to play with on your SOA, I have to go out in a minute, and I dont have time, but some kind soul may post a link up to the 'guidelines' the OR uses. Dont forget to claim for things like glasses or dental treatment, as has been said set your groceries on the higher side, he/she will only ask you to reduce if needed! Good luck.

I'm so glad things have worked out for you. The guidelines would be really useful. Thanks for the post.

mel12

Hi Mel12 - The asset is the house, but it's not an asset. I have a second charge on my mortgage with the local housing authority. They lent me 32.5k towards my mortgage so when I sell they get that back + % increase in value on top. The mortgage is in sole name. The house is borderline negative equity unfortunately.

hi,
from the point of view of going br the negative equity's a good thing (if it was in 35K of positive equity you'd probably lose the house). You need to be aware that the OR will wait 2 years 3 months from when you go BR and see if theres any equity then. If so you (or a family member etc) will have the option to buy back the interest, otherwise they could sell the house but if its only a small amount of equity its more likely they'll put a charge on the property that has to be paid back when its sold in future.

lala9

mel12 wrote: »

hi,
from the point of view of going br the negative equity's a good thing (if it was in 35K of positive equity you'd probably lose the house). You need to be aware that the OR will wait 2 years 3 months from when you go BR and see if theres any equity then. If so you (or a family member etc) will have the option to buy back the interest, otherwise they could sell the house but if its only a small amount of equity its more likely they'll put a charge on the property that has to be paid back when its sold in future.

Ah right, I did read that somewhere. It's all very complicated isn't it. Does the OR spend a lot of time poking around in your bank account to see what you have been spending your money on throughout the month? Or are they happy with the figures you supply on your SOA?

HateBanks

Guidelines are on post 68 in this thread: http://forums.moneysavingexpert.com/...1056083&page=4 on what one is allowed to claim, obviously these are guidelines, and you should only claim what you need to claim, but quoting from the Insolvency Service notes "It is important to remember that it is the reasonable domestic needs of the bankrupt and his/her family that need to be considered, [Note 1] not just their basic domestic needs"
This whole document is an interesting read if you have time: http://www.insolvency.gov.uk/freedom..._2.htm#31.7.23

mandyl

HateBanks wrote: »

Guidelines are on post 68 in this thread: http://forums.moneysavingexpert.com/...1056083&page=4 on what one is allowed to claim, obviously these are guidelines, and you should only claim what you need to claim, but quoting from the Insolvency Service notes "It is important to remember that it is the reasonable domestic needs of the bankrupt and his/her family that need to be considered, [Note 1] not just their basic domestic needs"
This whole document is an interesting read if you have time: http://www.insolvency.gov.uk/freedom..._2.htm#31.7.23

coming up not found?

HateBanks

Sorry, this one should work. will search for the other one
http://www.insolvency.gov.uk/freedomofinformation/technical/TechnicalManual/Ch25-36/Chapter31/part7/part2/part_2.htm#31.7.23

Ineedaname

I couldn't find it the other day HB, if you do I'll bookmark it for the future.

HateBanks

Have searched but no avail - anyone else know where the guidelines on amounts to be possibly allowed is?
Its nice to know rough ideas when filling in SOA, to allow for where those little extras like TV are to come from.

lala9

That's a shame, that would be very useful and interesting.