Terrible Situation

beko_2

this is tricky,so bare with me.im currently going through an iva,i borrowed £44k unsecured for my brothers business which he went bust,leaving me with the debt.we also bought a house to sell which he lived in,my IP said sell the house and make a one off payment of £22k,no problem as my brother had relinquished any equity in the house.my problem starts now,as you can imagine,i dont speak to my brother and 2 weeks ago i realised he had run off because the house had been reposessed without my knowledge.the mortgage is £90k,its up for sale at £115k,obviously he hasnt paid the mortgage for a year plus fees,mean i could only be looking at 10k equity to give the creditors,i own my own house with my partner,which has £30k equity,(i'd do anything not to lose the house as my partner who doesnt know anything about this,would be heartbroken)i have until the end of july before my iva runs out,it already has had a 6 month extension,is bankruptcy my only solution?

Richard_S

beko wrote: »

this is tricky,so bare with me.im currently going through an iva,i borrowed £44k unsecured for my brothers business which he went bust,leaving me with the debt.we also bought a house to sell which he lived in,my IP said sell the house and make a one off payment of £22k,no problem as my brother had relinquished any equity in the house.my problem starts now,as you can imagine,i dont speak to my brother and 2 weeks ago i realised he had run off because the house had been reposessed without my knowledge.the mortgage is £90k,its up for sale at £115k,obviously he hasnt paid the mortgage for a year plus fees,mean i could only be looking at 10k equity to give the creditors,i own my own house with my partner,which has £30k equity,(i'd do anything not to lose the house as my partner who doesnt know anything about this,would be heartbroken)i have until the end of july before my iva runs out,it already has had a 6 month extension,is bankruptcy my only solution?

Hi beko,

Your first port of call should be one of the debt charities, CCCS, CAB, National Debt Line etc, they are free to use, their advisors are professionally trained and their advice is impartial and based only on what is in your best interests.

If they advise bankruptcy then post again here and you'll get all the help and support you need.

Best regards

Richard

beko_2

rang my IP,she said they may be able to extend the period another 3 months,until i get a figure from the sale of the house she cant give me much advice,looks like i can sleep again,well until november!!

Richard_S

beko wrote: »

rang my IP,she said they may be able to extend the period another 3 months,until i get a figure from the sale of the house she cant give me much advice,looks like i can sleep again,well until november!!

Hi beko,

I don't think your circumstances are bad enough for bky to be inevitable but I would still take advice from one of the Debt Charities. The more planning you do now in terms of information gathering and considering your options the more prepared you'll be at the end of the extension period.

Best regards

Richard