Bankruptcy

Eloise32

I am considering filing for bankruptcy, however
I have a repayment mortgage. I'm fairly sure you can't go bankrupt under these circumstances, just seeking clarification of this.

any advice?

alastairq

A mortgage is a secured loan. [secured on the property]

A bankruptcy petition deals with unsecured debt.

A BR petition can be sought for as low an amount as £700 [or thereabouts]

The debt procedure you may be thinking of is a DRO, perhaps?

In which case, having a mortgage will preclude the individual from that procedure.

But not from petitioning bankruptcy.

tigerfeet2006

Hi and Welcome to the Bankruptcy (BR) Board.

As an extra to Alistair's excellent advice please make sure you get advice from one of the debt charities about your circumstances.

The first step is to make a list of all your creditors, debts and assets. Secondly and most important is contact one of the following debt charities. Please try these they don't charge and are impartial. They will go through all your options with you and if they suggest bankruptcy then come back to this board and we will help you all we can. Also if you are not ‘clicking’ with one of the Debt charities do try another. We advise you to try at least two for your own piece of mind. Your BR could be refused if you have not sought advice.

* Blue text on this forum usually signifies hyperlinks, click on the blue links below *


Main recommended sources of help:

• National Debtline - Website: National Debtline Telephone: 0808 808 4000
• Citizens Advice Bureau - Website: Citizens Advice or visit your local CAB centre (find nearest)
• Consumer Credit Counselling Service - Website: CCCS Telephone: 0800 138 1111

Others:

• Business Debtline
  - Website: Business Debtline Telephone: 0800 197 6026
• Christians Against Poverty
• PayPlan
• TaxAid - Help with tax debts.

Please don’t do anything rash make sure you take your time and weigh up your options and read everything you can.

For ‘essential’ BR info this is Fermi’s sticky.

BR friendly home insurance thread.

BR Friendly bank accounts sticky.

BR Abbreviations.

We often ask you to post your SOA so we can see if you have included what you need to:-
MSE SOA Calculator - Click here Select the MSE format at the end. Copy and paste onto your thread.


If you are new/old to this board and receive/see a comment that is not helpful or insensitive please don’t let it put you off posting, often these comments are made by people who don’t normally contribute to this board and don’t speak for us.

What to do if you get an insensitive or hurtful comment.


And do remember we’ve all been through this and anything you don’t understand don’t be afraid to ask.

Best wishes TFx

Mouse1812

The most important question however is - do you have any equity in the property and if so how much compared to your debts?

If there is any equity (meaningful amount) you could lose your home. If there is none and you can continue to meet the mortgage repayments, then you might be able to keep it.

This is well worth having a read of.