Was bankrupt but kept house..remortgage advise pls

shaunc196

ampersand wrote:

........and hope the absence of response generally has not worsened things as they were when you wrote. Saturday has been beautiful for weather, though nippy, and I can imagine everyone needing to feel the sun, let alone the more likely thing of facing shopping/weekend hordes and madness.
I went to a tiddly little auction in a wideopen space, amid old barns and felt eased, even with zilcherino to use for bidding. There's ALWAYS a little sleeper and I have had one today.
First, how did you find out? If by letter, the good relly you have sometimes spoken of(with wife and her parents) i.e. jointly working for children's good and friendly still, does not seem to have kicked in on this one.
If she HAS spoken with you, can you find a way of saying(depending on your reaction to her)'I was taken aback so will need to take advice myself.' Then back to CAB. Obviously, you cannot/ must not be left with MINUS.
Do a bit of Sooty and Rich re-reading and DIG IN.
You knew this was not for the short haul/quick fix - that's why you posted here in the first instance.
AND NEITHER ARE WE shaunc196 - I AM TAKING THE LIBERTY OF SPEAKING FOR THOSE TWO GOOD PEOPLE, IN ADDITION TO MYSELF.
You may have to consider that your wife has a girly clique/claque out there, filling her ears and own unhappy confusion with less than peacable, rational input. This could well be fired by their own situations and/or what they interpret from her.
This is sad but likely.
You counter this with your marvellous boss.
Next, with this Forum, you have not only the Dream Team but a growing readership who, ipso facto, ARE with you, instantly.
We understand when you write:
Not the answer, but I have run out of answers, and now I just need some comfort
..................just don't scramble for what isn't there for the moment.

This is where Facing, Accepting, Floating and Letting Time Pass comes in.
The wine was a good idea - especially as I drink only red. So we may say luckily you weren't drinking alone(where morosity and maudlin lachrymosity lurk) .
Unfortunately, I must draw it to your attention that you forgot to fill my glass............
shaunc196 - you have STILL made the big step forward, which is irrevocable AND YOUR ACHIEVEMENTS OF THE PAST WEEK STAND.
FROM CLIMBING THE GLASS MOUNTAIN UNDER THE COSH, YOU HAVE ADVANCED TO TAKING MORE STEPS FORWARD, FEWER BACK.
Each new stage, like this, is permanent and brings its own strength.
This I promise.
Now, practicalities: next week, return to the CAB.
They are well-versed in tackling the moeurs of Government agencies and have a history of triumphs. Also, I believe that indicating courteously, firmly, VIA CAB ONLY(this keeps you more safely harboured), your resistance to CSA figures/plans via CAB freezes any such implementation until Appeal routes are exhausted.
That's important for you right now.
I hope you raised your glass to the full moon last night...now THERE'S a lady!

I did, and I will also Raise Another for everybody on here. I have popped along to the Doc's and had a very good chat with him. Basically I am suffering depression, who wouldn't, but I am having Anxiety attacks, something I have never experienced. He did not tell me off, or send me to the AA Team, he understood, listened, and said, it will get better.

I am going to print that post, and everytime it seems the world is on my shoulders, I will sit and read it

ampersand

A good positive, courageous post from you shaunc196 - and VERY good sound action taken. But it's not a treadmill, so once again, when things are in knock-back mode, you step aside and pause for a bit. You decide how long the pause is. Endurance training, we're all doing it.
I suspect you know that you'd be buoying up a friend going through what you are presently experiencing, telling them they're doing well, that you are there for them. So take every ounce of this and apply it to yourself We ought to get along with ourselves better than we do, the being we've lived with all our lives.
Why do so many of us suddenly find we seem so far adrift from what we know is our true self? And how do we get back there?
You are on the way - your former wife, your children, your boss, every person with whom you cross paths, will ALL benefit. Most importantly, you will, shaun.
Never make big decisions at night.
If you can't sleep, your body is coping. It's not a matter for stress. That's a conditioned response. But it's better to have radio quietly on beside you, put light on and read, make tea or whatever, write a letter to someone(yourself, your old self, the self you'd like to meet in a year or two - and put it somewhere safe).
Right now, you would probably fix this hopeless techie-nerd woman's printer, pop character programme(for foreign language accents)etc in 10 seconds flat. After a fortnight, I still can't and it is stressful. Have felt totally ground down and useless, knowing that such reaction is pathetic.
YOU HAVE TALENTS YOU PROBABLY DON'T EVEN THINK TWICE ABOUT. Most of us do.
I'm now setting this week's practical activity - breadmaking:a good cathartic kick AND VERY EASY AND CHEAP(Use Tesco's/whoever's breadflour, some seeds/grains if oyu want, and Quick Dried Yeast-very simple instructions on pack).Then I'll put a nice bottle of red between my knees, pull cork(than which there are few more evocative sounds)and there'd better be DEUX VERRES at the ready this time......
d'accord?
'Du vin, du pain, du petiti Boursin'....the best advt. ever written, simple,powerful, complete, glorious.

poorperson

sooty. equity in house is probably about 80000. Could sell for 100,000 but 20000 outstanding. was nowt in feb 2001 when she was made bankrupt. she's been discharged since 2/2004 and the bankrupt details should (?) disappear from her credit file at the end of this month. i realise of course that the OR will not go away. Just hoping that he'll not try and grab too much back. Does this help? can i just say that since reading this thread, i am impressed by the amount and quality of information you have passed on.

Sooty0404

Poorperson (although with that much equity I wish I was as poor as you)

The OR will own your wife's share of the equity for ever and a day. I'm surprised that with that much equity he has not already staked a claim. You should try and buy him out as soon as possible. As you house continues to appreciate so does the equity and so does the amount you will have to pay. Bankruptcy will stay on your wife's credit file for a minimum of 6 years.

poorperson

Sooty, cheers for getting back. Believe me, I am poor. I've got a crap credit file and trying to pay back credit cards (at a fixed minimum rate for now) but I would like to keep my house. I used all my cash to keep the wife's business going for as long as I could but we just ran out of steam, and cash of course. She was made bankrupt on 28/2/2001 so her six years is up at the end of this month. I am reading as much as I can but everytrime I think I've got the situation licked, somthing else crops up. In one of the leaflets produced by the Insolvency section I came across a paragraph "if the beneficial interest in the home has not been sold by the third anniversary of your bankruptcy (or by 1/4/2007, whichever is the later), it will cease to be part of your bankruptcy estate and will be returned to you. My head is swimming at the moment (but the wife is pushing me for clarification),so can I take it that this means the OR will be no longer interested in the property after 1/4/2007. He hasn't applied for an order for the sale of his house or possession etc. Am I on the wrong path. As my son is getting married shortly I would like some extra cash for him and his family so this means a remortgage. I don't want much (30000; 10 for us/him and 20 for the Bank of Ireland). By applying for a remortgage, can I assume that the OR will be alerted by the Land Reg and that he may come back and tell us we've got to sell? If we had to sell, what would be his share. Would creditors be in line (i was the 2nd largest) for a pay out when we've already been told at the bankruptcy that there were no assets. I can honestly say that in feb 2001, there was no equity but we were able to continue with the mortgage payments. Sorry to drag on but I was a civil servant for thirty years (now early retired) and we didn't know how to do short replies, hence the crap leaflets that are produced. Here's hoping you can provide me with more info. Cheers

Sooty0404

I am really not sure about the beneficial interest being returned to you unless this came into force in the last bankruptcy review by the government. I had to buy out the OR for my brother almost 10 years after he went bankrupt.
You really need to get clarification on this. If the OR has placed a charge on the property the 3 year rule does not apply. The following paragraph is lifted from the Insolvency Service website:

What happens if no-one buys the beneficial interest?

It remains with the official receiver or trustee, but only for a certain period (see below). It does not return to you on your discharge from bankruptcy. The value of the beneficial interest may increase over time if the market value of your home increases.

The benefit of any increase in value will go the official receiver or trustee to pay your debts, even if the home is sold some time after you have been discharged. You and your family will have to move out if the home has to be sold to pay your creditors.

In most cases, if your beneficial interest in your home, or the home of your spouse or former spouse, has not been sold by the third anniversary of your bankruptcy (or by 1 April 2007, whichever is the later), it will cease to be part of your bankruptcy estate and will be returned to you.

The exceptions to this are:

if your trustee has applied for an order for sale of the house;
if your trustee has applied for an order of possession for the house;
if your trustee has applied for an order imposing a charge on the house; or
if you and the trustee agree that you will incur a specified liability in respect of the beneficial interest.
If, however, the trustee is not aware of your interest in a property, he or she will have 3 years from the date on which he or she becomes aware of it to deal with your interest (for example, to sell it).

As you are one of the largest creditors in your wifes bankruptcy I'm guessing that is why the OR had not persued the sale of your house as it would only mean he has to sell the house and then give you the lions share of the money. I'm thinking out loud here and you will need to check but...

why not contact the OR and see if you can offset all or part of your claim in return for the beneficial interest in the property.
As I see it the OR is holding about £40k under normal marketing conditions and whilst you may have to give the other creditors a pro rata settlement it would still be of benefit to you to complete this transaction and get back all of the remaining equity. I don't know if this is feasible as I have never experienced this situation but for the sake of a phone call - who knows.

It would certainly be worth finding out and posting the result for the benfit of others.

I look forward to the outcome of this one and really hope you are successful as this could be a major plus for anyone in the same situation.

poorperson

Cheers Sooty

As soon as I've finished Tuesdays child minding duties I'll see what I can come up with.

Perhaps the OR himself is the best bet but I didn't want to upset the apple cart but he was going to be aware anyway if we did apply for a remortgage (which I'm gonna have to do, No. 1 son gets married at Easter.

Apologies if I'm takng up too much of your time on this one. I thought I could understand it all but I can't. Early age (56) dementia? Well, that's the excuse I use on a Friday afternoon at the club when I play the wrong domino!

silvercar

With no expert knowledge, I do wonder whether it would be worth waiting until after 1/4/07 before doing anything. I know that makes things difficult regarding expenses prior to then but £80,000 is a lot of equity at stake.

Downloading the house details from the land registry site would tell you whether the OR has a charge on the property.

My take on this is that if there is a charge on the property you may as well speak to the OR / rearrange your mortgage etc. If there is no charge on the property I would wait until after 1/4/07. This may be one of those cases where you will need to quote the rules back to the OR and ask them to seek legal clarification.

poorperson

silvercar, thanks very much. i have been on the land registry before but not lately; can't remember (dementia again) what was on it. i'll access it later on today.

poorperson

sivercar. i've just been on the LR site and all it says is A Caution. Is this the equivalent of an OR charge?