House in negative and she choosing bankruptcy?

mrsgiggles

Hi,

I am desperate for some help.

I still own a house and a joint loan with an ex partner from years ago. The mortgage company wont allow either of us to take the mortgage on ourselves to split our finances.

It has taken me years to even get her to agree to put the house on the market. Its a long shot as we are in negative equity so it is over priced. She refuses to agree for me to repaint it etc to present it well to potential buyers.

We have tried offering a variety of ways to split the finances as much as we can but she refuses, whilst still saying she wants to split them and for me to take on the house and pay her money to do so!

A couple of years ago I took out an IVA to deal with my debts and have been sensibly paying these off whilst trying to also save for the negative equity. She told us she hadnt saved at all.

then this year she suddenly says she has £10,000 and wants to make sure I also have the same so we can sell and pay the negative. I cant get anywhere near that much. I have offered the alternative of us selling, her paying the netative with her savings and I take on the loan to make the slipt equal but she refuses.

she is now threatening that she will go bankrupt and says I will then become liable for the loan and mortgage repayments. Is this true?

I am confused how she can go bankrupt if she has an income and says she has savings?

I'm at the end of my tether with her as she wont consider any sensible options and I cant see how to split our finances otherwise. I feel like Im going to be stuck with her in our lives forever (she also sends emails with lots of put downs/judgements on my wife etc which adds to the stress).

Any ideas what we can do?
Any information about what would happen if she did go bankrupt?

Id really appreciate any comments

thanks

Thrugelmir

Call her bluff. Let her go bankrupt. No concern of yours what she decides to do. At least it separates both your finances and relationship. Allowing you to get on with your life.

dimbo61

Are you still paying half the mortgage?
Does she live in the house alone or do you have kids together ?
Is she living in the house and refuses to allow you to go in and paint?
tell her you will be painting the house ASAP
Call her bluff and tell her she will destroy her credit score for the next 6 years if not longer if she goes Bankrupt

holly_hobby

You can't just elect to go bankrupt and thats it .... the Judge under the bankruptcy hearing will evaluate and award the BO or not.

If the Judge believes from his assessment of the individuals financial circs, assets and income, that they do have the means to repay creditors, and are simply trying to avoid doing so (i.e a case of won't pay NOT can't pay), he/she will reject the BO request .... so things may not be a simple as she believes.

Why not just lead her to believe you have the 10k, see what the neg equity is on disposal, and then enter an arrangment for the os balance directly with the lender.

Hope this helps

Holly

mrsgiggles

Thanks for the comments guys. Its helping me think it through.

Dimbo61: The house is rented so we each pay half the difference to ensure the mortgage is covered.

Holly Hobby: Would the mortgage company stop us from selling the house is it was in negative? Wouldnt they stop the sale if we couldnt pay it off in full at the sale?

holly_hobby

You would have to come to an agreement with them re any negative equity, and how you intended to repay it - which may be by the arrangement of a repayment plan.

Perhaps a chat with your lender would be the best move now - at least you can then assess what your actual options are.

Holly