Handed back keys, will we sstill be liable for shortfall?

Bella_Smythe

Hi guys. we are finally starting to fill out the forms 6.27 and 6.28 and getting ready. Today my DH went to student services at Uni for help and advice with what to put on the forms.
We currently have had a court order to vacate the mortgaged house by 4th June 2013, which we did, and have sent back the keys. She said to be careful about petitioning now as if the BS did not sell the house within 12 months, any shortfall would then become a new debt to us which would not be part of the bankruptcy and they could then chase us for the shortfall. She said she used to be a debt advisor for the CAB
This seems to contradict earlier advice I have had on here unless I have misunderstood. We have not had any correspondence from the BS since we returned the keys. So presumably they have not actually repossessed yet. how do we know when they have?
Thanks for any help O Learned People!
Bella

tiggerbodhi

Hi,
The lady at Student services is completely wrong, wronger than a wrong thing in wrong town on wrong day! any unsecured debt incurred before BR is included in the BR and cannot be chased (assuming you signed nothing during the repo, deed of acknowledgement etc) the shortfall will be unsecured once the property is sold now or ten years from now.


IMHO would be careful what other advice she is giving you if she can be wrong on something this simple and fundamental what else is she wrong about?


Good luck!!

longtermplanner

Well tigger has expressed the situation clearly The ex CAB lady needs to go on a retraining course.

re the forms - there are some example forms here https://nedcab.cabmoney.org.uk/bankruptcy627.asp and here https://nedcab.cabmoney.org.uk/bankruptcy628.asp

In particular there are two extra pages on how to enter a property that has been handed back: https://nedcab.cabmoney.org.uk/bankruptcy628.asp?pNo=13a and https://nedcab.cabmoney.org.uk/bankruptcy628.asp?pNo=28a

debtinfo

You can tell her that i am happy to provide her with free bankruptcy training if she wishes.

Plus it may be a good idea for her to ask CAB to contact anyone else she has given advise to.

Bella_Smythe

well that seems definate enough. and its what i thought as I did ask some stuff about this when we were starting out on this fearsome journey!
Thanks guys
Bella

TheGardener

Perhaps you should email your 'advisor' a link to this thread

owlet

And pop a copy of your SOA on here too - maybe her advice on that isn't too good either. You need to have your fair share of the budget for living purposes.

Bella_Smythe

yes we're just doing the SOA - its different for each of us though isnt it? as Ive understood through reading other threads on here you put ALL household expenses down rent gas food etc and then put a 'contribution' from the other one? and then put personal things like phone, car insurance, dentist separate. I have a 'season ticket' thing for prescriptions as Im on five or six meds a month (:() so can I put that down as well?
Bella

tiggerbodhi

You put everything down you need to live, if you have a prescription pre-payment card that goes down along with an allowance to pay for an eye test once a year, my OR allowed £19 a month for opticians (contact lenses)


Remember though if you are on certain meds you might be exempt from prescription charges, Thyroxin etc.