Do I tell the OR we are going to let repossession happen?

System

No benefits here.

We'll should be able to afford rent quite comfortably once we're back up to what I would call our 'usual' level of work. I'm not exactly going to go out of my way to earn as much as possible, knowing that come the end of the year the OR will decide I shoudl have an IPA for 3 years. That would be 3 years where there would be absolutely no point in taking on any work over and above what would give us the OR-approved level of subsistance. I obviously want to avoid that within all legal means, but if it happens, fine, we have 3 years of watching daytime TV.

I keep an eye on local rental properties and I'm not seeing anything more than a modest rise in recent months. For £100 more than I'm paying on the mortgage we could have a 3-bed semi with a garden for the dogs. We'll probably go to a private landlord but we'll get there.

System

We would actually be 2/3 of the household as my Dad lives alone.

We're self-employed, so that means our income varies. We're keeping our heads down this year.

sundays

I really do not mean to sound like im putting a spanner in the works of your suggestions/plans.

I sincerely wish you well and hope life turns around.

Having worked with landlords and BR's as well as being one, my advice is try and find a private landlord, most agents wont allow dogs as it invalidates the landlord insurance, well that is what they claim as well as not likeing people on benefits and hate us BR's and those with bad credit.
So i sometimes overthink a suitation, that is prob from years of being pestered for money , but being a BR has put me in control for the first time in a long time.

System

No, it's cool Sundays.

We have a few connections with people in the renting marketand you know what? ALL of them allow dogs within reason.

kepar

I have been reading your posts with interest.

When did you go br?

I ask in that you seem to think that you will somehow be able to save six months rent, surely if you have this much spare you could get an IPA, Also if you are looking to get a rental before your AD(early discharge cannot be guaranteed) then you will only be allowed the rent for a one bedroom property.

Whilst you have your ideas about IPA's and trying to avoid one, surely as you work for yourself you should be trying to build a business whatever instead of waiting to avoid an IPA. Someone else might have got there before you.

My wife could have avoided an IPA, but by sticking at her jobs she got promoted and now has a decent pay rise and she now views the three years as worth while. If she hadn't carried on with the extra work she would not be in the position she is today.

sundays

kepar wrote: »

I have been reading your posts with interest.

When did you go br?

I ask in that you seem to think that you will somehow be able to save six months rent, surely if you have this much spare you could get an IPA, Also if you are looking to get a rental before your AD(early discharge cannot be guaranteed) then you will only be allowed the rent for a one bedroom property.

Whilst you have your ideas about IPA's and trying to avoid one, surely as you work for yourself you should be trying to build a business whatever instead of waiting to avoid an IPA. Someone else might have got there before you.

My wife could have avoided an IPA, but by sticking at her jobs she got promoted and now has a decent pay rise and she now views the three years as worth while. If she hadn't carried on with the extra work she would not be in the position she is today.

My point is very similar to that of kepars, i dont think it will be as easy as you think, the OR will control your allowances very tightly when you move out and if they thinks its to much they wont allow it and could slap on a IPA, personally i think you may end up with one if you go down the route you plan.
The OR is not going to like getting a property repossessed when the rental costs more than the mortage.

I think those that dont get a IPA or at the least a suspended one, have it a bit easier- i havent got one either.
But as soon as your in IPA terriority it all changes any sniff of anything and you have to prove its necessary, and the constant changes you would have to demonstrate as self employed will drive you nuts, every time your income goes up or down you have to tell them, your supposed to even if you havent got one, so dont think not having one doesnt mean you dont keep them informed.

I personally dont think they will be that generous with costs in your fathers home.
His increase in utilitys and council tax would be nominal for the rent he will receive.
Personally id stick with the home then near to the end of the BR id look at being repossessed, to be honest you could go down the route you plan, agree to pay on the terms at the possession hearing then default after AD. Then its only your business what you do thereafter, and treat the difference of what you save as hopefully a low cost loan..

System

We know the limits of what we can do and when we can acheive it. No way we're going to be able to get the deposit together for rent before the end of this year.

We really don't have much of a choice in how this is going, but I'm sure as hell going to make it work to my advantage as much as possible.

System

>> "so dont think not having one doesnt mean you dont keep them informed."

Once I'm discharged, if I don't have an IPA in place it's my understanding that I do NOT have to inform them of any change.

kepar

I do not know the reason(s) you are going bankrupt but surely your business cannot be doing that well to be doing it. Surely if you could have made your business make the money and succeed like you envisage it would have done so by now. If you were surviving on credit, how will this change now you are br with no credit facilities.

Or did you run up a lot of debt outside of your business and used the br to write it off, I am not judging I am not in a place to judge. But if that was not the case what will now change to make you succeed.

System

The debts - or should I say, the volume of debts that caused the problem - are all from before I started working for myself. The final tipping point came when I couldn't pay the last tax bill. It was all credit card debts that built up over the years, to the point where the minimum payments each month were £1k.

Looking at the figures outside of the debts, the business was doing well (a lifestyle-type business so we're never going to be 'rich', but doing well all the same). Apart from the last tax bill, there were no business debts at all, not even a company credit card.

Even the OR commented during the meeting that it was the quagmire of old debts that got me into the BR situation. Now they're gone and I can get on with it. Would be a lot easier going forward without an IPA though.

My wife is self-employed too and her little business has got us through the leanest times. We're looking at a couple of other pies to dip fingers into also, but I'm against the idea of working my backside off just to give it all to the OR.