re-credit check

joe134

sniggings wrote: »

hard one really as there are so many variables,looks as if she as a lot of options.

debt management plan (can be hard to keep up the payments)
BR (new start clear of debts but can be shameful for some and hard to get furture credit)
you paying debts (very kind but will this situation come up again)
your daughter selling the house and then paying the debts (may not be an option in the short term,but guess if this was a real option you would have taken it)

all have pros and cons.also depends how much you wish to help, now or after BR or both,if only before BR OR after then that again opens up more considerations.

the way I see it now is it's down to personal preference,if this was me knowing what I know now,I would take the option for BR and accepting your offer of help post BR but if you asked me the same qoestion before my BR you problably would have got a different answer?

Hi sniggings, it,s a poser isn,t it.
If she had somewhere else to live @ the same rental as her mortgage, £400pcm, I would prefer her to go BR and start again with help from me,.because it,s a interest only mortgage, no repayment scheme (endowment), it,s prefabricated, needs £30000
spent to brick exterior just to be able to sell it. Never get money back, negative equity now;;
She should get enough from mortgage free house to pay me back, should I clear her debts now, and wait until her house sells;Who knows when??
As it,s rented, she should get half the rent,£100pcm to help pay her way now;
Hopefully the spanish bank will just take house back, enough equity in it to pay off the £80k mortgage???
It,s all if,s and but,s;
I need these settlement letters, so I can see just exactly what it will cost me.
It,s the roof over her head now that concerns me, not the shame, I don,t think the shame would bother her now;;;In fact, shame didn,t bother her getting into all this mess.

It,s cold hard facts now, not what if,s;;
Her partner is so unpredictable, he will not make life easy, however we do it;
It,s affecting my wife more than me.Drs today.
I will get my figures, and have a chat with my daughter, and see what we can sort out; I don,t think it will occur again, but, I honestly cannot hand on heart, believe it.
Just, if it does, she,s on her own;
I know,"you,ve heard that one before".
So have I, and here I am again.Not just her, it seems my other children/grandchildren are all the same. Nothing bothers them, live for today and B*****r tomorrow. I don,t know where they have got it from, certainly not us;
I will keep you posted every step of the way, before I make any concrete decisions. I owe you all that much.:A

joe134

joe134 wrote: »

Hi sniggings, it,s a poser isn,t it.
If she had somewhere else to live @ the same rental as her mortgage, £400pcm, I would prefer her to go BR and start again with help from me,.because it,s a interest only mortgage, no repayment scheme (endowment), it,s prefabricated, needs £30000
spent to brick exterior just to be able to sell it. Never get money back, negative equity now;;
She should get enough from mortgage free house to pay me back, should I clear her debts now, and wait until her house sells;Who knows when??
As it,s rented, she should get half the rent,£100pcm to help pay her way now;
Hopefully the spanish bank will just take house back, enough equity in it to pay off the £80k mortgage???
It,s all if,s and but,s;
I need these settlement letters, so I can see just exactly what it will cost me.
It,s the roof over her head now that concerns me, not the shame, I don,t think the shame would bother her now;;;In fact, shame didn,t bother her getting into all this mess.

It,s cold hard facts now, not what if,s;;
Her partner is so unpredictable, he will not make life easy, however we do it;
It,s affecting my wife more than me.Drs today.
I will get my figures, and have a chat with my daughter, and see what we can sort out; I don,t think it will occur again, but, I honestly cannot hand on heart, believe it.
Just, if it does, she,s on her own;
I know,"you,ve heard that one before".
So have I, and here I am again.Not just her, it seems my other children/grandchildren are all the same. Nothing bothers them, live for today and B*****r tomorrow. I don,t know where they have got it from, certainly not us;
I will keep you posted every step of the way, before I make any concrete decisions. I owe you all that much.:A

UPDATE::
HI GUYS;;Just thought I would put you in the picture;
I,m still amassing her debts, from whom,to whom.;;What a nightmare.
So far, with 10 debts totalling £30k + and reduced 4 for early settlement, still leaves £26k+.
Don,t know if the other 6 will accept offers to reduce thiers, but even so, it,s going to be £20k+ not including mortgages;
when offering to settle, would it be in my interests to tell them that BR is being considered?
If she does go down the BR route, will they get nothing, so it would be in thier benefit to reduce further;or am I wrong, as usual;
Cannot believe banks allowed her so many C/C,s and go from 1 to the next, surely they would have ran a credit check sometime,, and picked up that she was a bad risk, but it was pre 2008, easy money. Credit reference agencies records leave a lot to be desired, never updated loads of satisfied debts.:rotfl:
Yes, There were more;;;;
Probably asked this before, but can she go BR and still carry on paying the mortgage, keeping the house?
Also, how does she do that, and get her partners name off the house?
There are so many questions, I don,t know which to ask;or even if it,s worth while asking any, anymore.Stumped;
I would prefer her to go BR, but is that me being selfish, when I can afford to clear her debts without any hardship to myself?
I know she doesn,t want BR, nobody does,and IF she gets ANY money from paid for Spanish house, that would reimburse me something;or use it to get a endowment policy/investment plan to pay the £113000 mortgage off in 18 years time;
By that time, I will be 85 and her inheritance will clear all her house off;
Sorry for all the questions, but, I,m getting to the crunch time, and DRM is out , I,m sure.Too costly for her to pay and live.:(
Another UPDATE, Daughter just been, explained BR may be her best option, she agrees if she can keep her house, and it won,t affect her job;
She may need my £20k+ after BR.

sniggings

joe134 wrote: »

UPDATE::
HI GUYS;;Just thought I would put you in the picture;
I,m still amassing her debts, from whom,to whom.;;What a nightmare.
So far, with 10 debts totalling £30k + and reduced 4 for early settlement, still leaves £26k+.
Don,t know if the other 6 will accept offers to reduce thiers, but even so, it,s going to be £20k+ not including mortgages;
when offering to settle, would it be in my interests to tell them that BR is being considered?
If she does go down the BR route, will they get nothing, so it would be in thier benefit to reduce further;or am I wrong, as usual;what's your poker face like! it can be a game of bluff,some creditors will not settle but a lot will but only if you get to talk to the person with the power and they also will hold out from agreeing untill the very end,I guess enough people ask for a settlement and threatening BR but end up paying for them to hold out for as long as possble but defo try cos it can save you a lot.
Cannot believe banks allowed her so many C/C,s and go from 1 to the next, surely they would have ran a credit check sometime,, and picked up that she was a bad risk, but it was pre 2008, easy money. Credit reference agencies records leave a lot to be desired, never updated loads of satisfied debts.:rotfl:same with me,I seems their checks amounted to wheather you paid on time and no if you were earning enough,paying the min charge with other credit wasn't a problem for them!!!
Yes, There were more;;;;
Probably asked this before, but can she go BR and still carry on paying the mortgage, keeping the house?in general yes,if there isn't much or any equity in the house then she can keep it if she can keep up the mortgage and any loans against the mortgage,the equity in the house will be watch for about 2.5 years and if it increases enought then they may wnt it,the BI (beneficial interest) can be bought my someone else if they were some equity so again the house could be kepted but the full detail and facts I'm not sure of so best to check for sure.
Also, how does she do that, and get her partners name off the house?that can be hard as if her credit rating is bad the bank may not let him.
There are so many questions, I don,t know which to ask;or even if it,s worth while asking any, anymore.Stumped;
I would prefer her to go BR, but is that me being selfish, when I can afford to clear her debts without any hardship to myself?
I know she doesn,t want BR, nobody does,and IF she gets ANY money from paid for Spanish house, that would reimburse me something;or use it to get a endowment policy/investment plan to pay the £113000 mortgage off in 18 years time;
By that time, I will be 85 and her inheritance will clear all her house off;
Sorry for all the questions, but, I,m getting to the crunch time, and DRM is out , I,m sure.Too costly for her to pay and live.:(
Another UPDATE, Daughter just been, explained BR may be her best option, she agrees if she can keep her house, and it won,t affect her job;job should be fine,think it only really affects accounts and MPs?
She may need my £20k+ after BR.

she has the final say but from here it sounds BR would be the best option,keeping the house would be good but as you say she will be getting a good inheritance so to me is really not the deciding factor,clearing off the debts and having help at the other side would be my choice.

joe134

sniggings wrote: »

she has the final say but from here it sounds BR would be the best option,keeping the house would be good but as you say she will be getting a good inheritance so to me is really not the deciding factor,clearing off the debts and having help at the other side would be my choice.

hi, sniggings.I know you are correct in what you say, My concern is can she go BR and still keep the house? Probably won,t know that till after she,s gone BR.
I read one lady on 1 of the threads who went BR with CCCs,s advice, and regretted it, her ex, (exactly my daughters situation) gad more debts so lost her house as well.Surely it would be advantagious to the collectors to get something, rather than force her BR?
It,s like chasing your tail , her records from equifax,et,al, are not updated, some settled, not shown, others, the banks alone, don,t know what they have sold.No one is helpful at all;especially the banks;
Are there other debts that are not yet on equifax,et,al??
You pays your money,you takes your choice, sounds lik;:beer:

dancingfairy

Hi - in terms of whether she can keep the house, the Official Receiver will look at what equity (if any) is in the house. If it is negative equity then the OR is likely to let her keep it. Is it likely to regain significant equity in the next 2 years? as this is the point I believe the OR makes the final decision about the house (unless it is in major negative equity and highly unlikely to ever recover).
Another point the OR may consider is how the mortgage compares to a simialr rental in the area.
I'd also have a think about whether your daughter can afford to keep up the mortgage and any secured loans if releived of unsecured debt or whether it would be easier to get it all done and dusted now and to get shot of the house?
In terms of rental - o.k her credit rating is not great but in terms of wanting to bail her out something that would be of use would be to either guarantee her rent for 6 months on a new property (make sure that you know exactly what you are signing up for and for how long though) or offer to pay 6 months rent up front for her whilst she sorts herself out.
Given how things are with the unsecured debts and secured debts I wouldn't really be considering paying off the unsecured debts right now for her.
I think the crux of the matter is if she can get shot of the Spanish properties and get her fair share out of them. Once she's got any profit out of them (or crystalised any loses) it may be easier to see the wood for the trees. On the other hand if she can't shift them and/or the ex is being useless then it may well be the easiest thing for her to go bankrupt and leave the Official Receiver to deal with the ex.
It's possible to untangle this huge mess but it would seem overall simpler and more straightforward and less stressful overall to go bankrupt rather than just trying to hang on, but at the end of the day she needs to get free impartial advice and do what she feels is best.
In terms of what debts she has then I would say the 3 credit reports are the best bet. Between them they should list most of the debts (not sure if they would list international ones though?). I believe that anything that doesn't show up is likely to possibly be statute barred (ie the debt companies can chase her but she doesn't have to pay- basically if she or her Oh haven't acknowledged the debt for a period of 6 years then the debt becomes statute barred). The exact amount and details of the debts are only really of only relevance if she are planning to try a settlement or debt management plan. I believe if you go bankrupt then all debts are included (even if you forget to inlucde them on the bankruptcy form - I'm sure one of the experts can confirm this?).

In short:
1) get credit reports.
2) get her a new bank account unconnected with any of her creditors to get her money and any benefits paid into.
3) try and sort out Spannish properties if possible.
4) Find out whether bankruptcy would affect her future career at all.
5) Asses whether a dmp, or full and final settlements or bankruptcy are the order of the day.

Oh in terms of putting the creditors off for a while she may want to write to them and say something along the lines of "I'm having financial difficulties and seeking advice from CCCS/National Debtline/local CAB. Please hold recover action and I will be in touch shortly. In the meantime here is a token 1 pound payment". She will probably need to keep paying the CCJ though.
Hope this helps a bit.
df

dancingfairy

O.K so the summary so far of the situation is something like this:

Properties:
1) In England - in significant negative equity?
2) In Spain - being rented out and has some equity - enough to clear mortgage?
3) In Spain - plot of land? Can it be auctioned off?
4) In Spain - derelict property? Mortgage/unmortgaged? Again can this be auctioned off to realise any cash?

Furthermore it appears you have said she owes 25/26k over about 4 credit cards?
Income 1000 a month?
Including the mortgage payments but not unsecured debt she would be overspending/getting further into debt by several hundred pounds a month? If this is the case then it seems highly likely she will need to give up the house she is currently living in and rent somewhere within her means- now whether this means moving back in with you, with friends, into a shared house etc it's not yet clear. Even if this frees up a significant amount of money each money to repay debts it would be a pretty mean feat to pay off 25k of debts, plus any negative equity on properties without having to go bankrupt - it's possible but would be extremely difficult.
Who's names are the debts in? Any that are soley in his name would be soley his responsibility but any in joint names would jointly be hers (plus any in her name as well).
df

sniggings

joe134 wrote: »

Surely it would be advantagious to the collectors to get something, rather than force her BR?

you would think!! but it's not that easy,over on the IVA board they seem to be able to say which creditors will deal and which will not,as has been said this info only matters is you were wanting to have a clear idea of amounts to make an offer as BR covers all debts so amounts arn't really need to be known,I guess doing a settlement deal is not an exact science,if you come at this from the primise that the company is not stupid (ok I know this is a stretch) then those that don't settle must think it is worth this stance and I can only think they believe they will be better off then taking less in a settlement because more will fully pay if not offered a settlement than the money they will recieve from settlememnts? guess it's playing the percentages,some put all their chips on single numbers some on black or red!

joe134

sniggings wrote: »

you would think!! but it's not that easy,over on the IVA board they seem to be able to say which creditors will deal and which will not,as has been said this info only matters is you were wanting to have a clear idea of amounts to make an offer as BR covers all debts so amounts arn't really need to be known,I guess doing a settlement deal is not an exact science,if you come at this from the primise that the company is not stupid (ok I know this is a stretch) then those that don't settle must think it is worth this stance and I can only think they believe they will be better off then taking less in a settlement because more will fully pay if not offered a settlement than the money they will recieve from settlememnts? guess it's playing the percentages,some put all their chips on single numbers some on black or red!

Hi Sniggings, and Thanks again, it,s a gambling game they are in, but with peoples lives, even though it was the debtors own fault in the first place, but not always , as in my daughters case, . But I,m biased;
)ne Quetion, as I,m hoping to get to the bottom of her debts today, and the last Experian report this week.so make an informed decission;
Do you believe the OR will allow my daughter to go BR for £25k, knowing she has a paid for house in spain with probably £30k equity in it, IF sold,WHEN,sold,as it,s for sale @ £75K????
Providing the other is taken back by bank, with no comeback:
Personally, I don,t , but this is new to me;but catching on quick, thanks to you,et.al:A

Ineedaname

To be able to go BR the individual must be unable to meet minimum payments as they fall due. Many people have gone BR with equity in a UK property, just unable to release that equity by selling. What happens then is either the OR forces a sale or offers the BR or friend/family member to make a reasonable offer to buy back the equity. Not sure quite how they would deal with an overseas property.

But the problem is your daughter is unable to meet her repayments at the current time and cannot predict how long it would take to become solvent by selling the overseas property. How will she manage in the interim?

If you bail her out (again?) then she'll know she can always turn to you and you in turn are reducing any inheritance to share across all your children/grandchildren. I agree with comments made before, tough love is needed here.

She has had a long chat with CCCS already and you say there's another one planned when she has all the figures. I'd continue to support her through that and see what the professional advice is. If it's BR then maybe a clean start is what she needs.

joe134

Ineedaname wrote: »

To be able to go BR the individual must be unable to meet minimum payments as they fall due. Many people have gone BR with equity in a UK property, just unable to release that equity by selling. What happens then is either the OR forces a sale or offers the BR or friend/family member to make a reasonable offer to buy back the equity. Not sure quite how they would deal with an overseas property.

But the problem is your daughter is unable to meet her repayments at the current time and cannot predict how long it would take to become solvent by selling the overseas property. How will she manage in the interim?

If you bail her out (again?) then she'll know she can always turn to you and you in turn are reducing any inheritance to share across all your children/grandchildren. I agree with comments made before, tough love is needed here.

She has had a long chat with CCCS already and you say there's another one planned when she has all the figures. I'd continue to support her through that and see what the professional advice is. If it's BR then maybe a clean start is what she needs.

Hi Inan, it is difficult and complicated.
She is due to speak to CCCS on wed, I,ve been continuosly on the phone/blog/etc regarding it all.
Managed to negocciate her debts down from £30k to £18k,if payed prompt. I know it,s the ploy of creditors to try and bluff, especially, near end of tax year, to clear thier books.
I,m waiting for report from experian, because equifax and callcredit conflict, equifax is not up to date, or vice versa;;;;
IF there are no NEW / OLD debts that are added, I am seriously considering paying them all off, and seeing if we can re-coup some back from spain. She,s going to Spain in 2 weeks time to see what can be salvaged, if anything?
I honestly believe I cannot let her go BR for £18k, if she can keep her house and re-coup some from spain, It,s all up in the air at present, and I don,t like things being static.
If I pay, and she is forced BR by morgtage companies, then I,ve lost £18k. If she does it again, she,s lost us;;;
We,ll see what happens in the next week.
Thanks again, for everything.:A