BR again?

fairihell

after a bad year my husband and i both went br in 2007, house was in negative equity and to be honest best thing we did. Now turns out my husbands ltd company has gone pear shaped and the worst case scenario could be that he is liable to pay back the ltd up to £15k - we dont have this, obviously, so i suppose he may need to go BR again - yes i know he should know better and it shouldnt have happened, but i am trying to be practical and getting advice from the business debtline people, my question really is would I need to go BR again? as no debts in joint names or anything like that?? but all of our bank accounts are joint accounts etc?

thank you and i appreciate you advice

fairihell

if this was to be just him br then how would soa etc work as he is obviously the main breadwinner (perm job and no longer using ltd company) - in fact i am on maternity leave and not sure going back to work,, was hoping to study

JustinCredibleGillespie

Does your husband intend on starting up another business after discharge? I think going BR twice will have some serious repocussions for you both, 2007 was less than 6 years ago, your husband could end up with a BRO/BRU this time round

Someone will be along soon with more knowledge on this.

JCG

xx

OutofDebt-NOT-OutofDanger

Is the £15k a personal guarantee that your husband has agreed to?

In terms of the BR, if the debts are not in your name then you will not need to go BR (in fact if you have no personal debts then you won't be able to go BR).

You would be best to either convert any joint accounts to an account in your name only (or close down and re-open elsewhere) to remove any financial link prior to BR and most banks will close down the account anyway once he becomes BR. Your husband will then need to open a BR friendly bank account in his name.

tigerfeet2006

fairihell wrote: »

if this was to be just him br then how would soa etc work as he is obviously the main breadwinner (perm job and no longer using ltd company) - in fact i am on maternity leave and not sure going back to work,, was hoping to study

The SoA would have all the joint household bills on it and his own personal expenditure like car, mobile etc. His full income and the amount you contribute to the joint household bills, this doesn't have too be your full income as I imagine you have your own bills.

As OoDNOoD says you need to get your name off any joint accounts and make sure you have no financial links with him. He will need to open a BR friendly bank account, see the sticky, a Co-op Cashminder or Barclays basic account.
https://forums.moneysavingexpert.com/discussion/4342387

Also, as said, the OR may look into his affairs more closely as it has been less than 6 years and he may get a BRO/U. But that will depend on the circumstances of the 1st and 2nd BR.

Stafolopicus

Just wanted to say it is not a crime or irresponsible if your husband started a business and it failed.

If it is 6 years since the first BR you are nearly at the magic 7 years when your credit file will get a clean bill of health.

If the Debt is 15k I would probably try to do a deal to reduce it and repay it over a long period of time. It's either that or BR in which case a bank would know they wouldn't get a penny.

fiveyearplan

Do you still have the house? If so, you realise things have changed since you last went BR regarding how property can be dealt with?

I agree with Stafolopicus - both that it isn't a crime or irresponsible and also I would try and negotiate the debt down.

Have you taken any advice?