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Should my OH consider BR?

Just after a bit of basic info for my OH really....

After he broke up with his wife 2.5 years ago, they surrendered the family home for a couple of reasons.

It was sold at auction at a large loss, think this is somewhere in the region of £35k. He also discovered there are various other join debts amounting to about £6-£8k that he was unaware of at the time as he thought his then wife was paying them (she wasn't).

They have 2 kids who he has ft custody of. He works part time , and claims tax credits. He privately rents a house and has no assets apart from a £500 car that he needs for work and to get the kids to school and back.

He scrapes by but is in no position to pay off these huge debts and the letters are constantly landing on the doormat.

His ex wife is unemployed and an alcoholic so the chance of her paying off the debts is just as unlikely. Whenever he tries to talk to her about the debts she just says they are his problem and she is taking nothing to do with them

Would bankruptcy be a realistic / sensible option, so he can get his life back on track?

Am I correct in thinking that it would last a year, then he can work on trying to rebuild his credit rating?

Any info / advice would be welcome, thank you!

And in case it makes a difference, we don't live together or share any finances.

Comments

  • PippaGirl_2
    PippaGirl_2 Posts: 2,218 Forumite
    It does sound like BR might be an option for him. Before going BR the court expect you to have taken legal advice so I would encourage him to meet with someone from CAB or similar to discuss this.

    Be aware that if there are joint debts, they will be written off for the BR person but then the whole debt becomes the other joint debtors instead so your partner will lose his liability to them but his ex will then be liable for all of it. Just something to be aware of.
    "Our prime purpose in this life is to help others. And if you can't help them, at least don't hurt them." Dalai Lama
  • 19lottie82
    19lottie82 Posts: 6,033 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Thanks PG. I don't think that would be a problem in his eyes!
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