Bankruptcy, Main Residence & Mortgage Company

tmb70

fermi and silver, I have just finished a call with my bank regards closing the account (to remove my wife will not fit the timescales I have), the outcome is both my wife and I need to call (later) to give verbal authority. The remaining funds will then be transferred to my wifes account as I do not have a personal bank account.

The bank account will be zero by the end of play today, it will then take a further few days for the admin etc to be completed to close the account.

I am proposing to go to court to obtain the bankruptcy order tomorrow morning (if they are busy it then gives me Wed or Thurs), when I have the Notice or reference number I will then scan and email, and a hard copy in the post to the banks lawyers. In addition I will attend the court hearing next Monday 12th, to physically show the court to prevent the Interim becoming a Full order (a charge on my main residence).

My concern is that further down the line my wife will be applying for a mortgage, with the description of events mentioned above does anyone foresee any major issues.

Cheers

fermi

Step back.

Can you remind us again who you has taken formal advice from that bankruptcy is best?

The court will check that you have done so, so you need to take that formal step if you haven't already.

Whatever we say here is not good enough to base that sort of major decision on.

Have you spoken to the court? Do you need to make an advance appointment for BR at your one? Or do they allow you to just drop in on the day? If you haven't checked, then you need to ASAP.

Normally for charging order hearing they want evidence/submissions 7 days in advance I think. Obviously you can't do that with a hearing on the 12th, but if you can give them the info before so the judge at least has a chance to get sight of it before the hearing it would be best.

kepar

Could it not be seen as disposing of assets, as in giving all the money to your wife?

tmb70

Fermi, yes I have taken advice and BR is the route and also I have called the Enquiry Line and spoken to our court regards BR.

I feel I have carried out as much due diligence as humanly possible to gauge the pros and cons.

Our local court is a drop in affair with a 'reserved' place the following day as they do 4 cases per day Tues thro to Fri.

I am faced with a charge on my main res, and my house with have to approximately trople in value to break even or BR to wipe the slate clean as there are other debts.

Moving to the bank account, it is joint so I would like to assume as it is joint then my wife has a right to the funds as well.

Normally for charging order hearing they want evidence/submissions 7 days in advance I think. Obviously you can't do that with a hearing on the 12th, but if you can give them the info before so the judge at least has a chance to get sight of it before the hearing it would be best.

tmb70

kepar wrote: »

Could it not be seen as disposing of assets, as in giving all the money to your wife?

kepar, this is exactly why I am enquiring. I guess its a catch 22 whereby there may a possibilty that you are correct.

BUT I am trying to keep my wife out of this as she will no doubt need to apply for a mortgage or some other form of credit.

So what is best?

fermi

OK. Good.

Just had to check. you understand.

As long as you can account to the OR for the funds (or any portion attributable to you), then it's not going to be a problem. Presumably they are there for day to day living anyway, so they will just go on that as they legitimately should.

Keep records.

tmb70

fermi, thank you. Is there a limit the OR sees as reasonable living expenses eg £1 to say £2000

fermi

There are rough guidelines, but it so depends on circumstances that they aren't are hard and fast and can do more harm than good.

Best thing normally is to fill in this.

http://www.makesenseofcards.com/soacalc.html

and post in a separate thread asking for opinions.

Then people can have a go at commenting from experience what they think the OR may consider acceptable, and what if anything the OR might want under an IPA.

Also read: http://www.bis.gov.uk/insolvency/personal-insolvency/income-payments-orders-and-agreements

tmb70

Just to update you, forms filled in (it took me 5 hours) and will be at our local court in good time in the morning, will aim for 0845hrs in order to see the judge tomorrow. My stomach feels so tight.

Thanks for the tips, pointers and advice.

Ineedaname

Just keep breathing and they won't have to call an ambulance.:A

Seriously though, you'll be absolutely fine. Pop in and let us know how you feel after.