Help me sort out my Parents Debt Crisis

chevalier

andyse13 wrote: »

Any suggestions how shift hundreds of dvds & CD's in one go also - He has tons?

List them on Amazon as you don't pay upfront fees.

If there is negative equity in the house (AND YOU MUST CHECK THIS OUT WITH SOMEONE FIRST) I would go bankrupt. As their is no equity in the house I believe that means that they won't have to sell it. But how quick they can do this with the repo order there I don't know

I think that you can get a repo order suspended IF the mortgage company can be made to agree to a repayment plan. BUT they would HAVE to stick to it, because if they fail to make the payment, then the repo would go through.

You should by now have talked to CCCS as your parents desparately need some urgent advice ref this
chev

jo1972

The OP did say this: 'My mother has a fruit machine addiction, they are both drinking heavily'

Obviously the thing you need to sort first is the finances because of the housing situation, but these 2 issues need to be looked at quite urgently as they do impact quite heavily on the money situation.

You need to find out if your parents have a problem with alcohol or not as, being in recovery myself knows, when you drink you are burying any problems and not dealing with them but unfortunately they are still there the next day and the circle continues. Don't want to scare you but until the gambling and drinking situations are assessed you will probably find yourself having to bail them out quite a bit.

andyse13

Hi All - Thanks for all the support

CSSS have arranged a telephone session with me for Monday afternoon which gives me time to get a snapshot of exactley where my parents are at with the Debt.

Managed to get the rip off company to cancel the debt repayment plan so good news there. I have also canceled all non essential direct debits, cut up all the credit cards, pooled in as much cash available to pay somthing towards the mortgage.

Csss passed me on to national debt helpline to advise on the repo order - I cant play for any time, have to have a plan in place that will pay all essential debt without being in a negative income/outgoingins situation. The have asked me to consider making a volantary independant contribution to satisfy the court and get the repo stopped. This would give me more time to convince my parents to seek higher paid employment, get a lodger and liase with other essential debt companies to repay arrears. Whilst I have very little disposable income I think I am prepared to make up the shortfall to give my parents time to take stock, decide what they really want to do (Based on their behaviour over the last few days I think deep down they just want it all to go away and have given up but are just too scared to say - I need to sit them down seperatley and ask them what they want to do - try to save the house (but they have to give me 100% commitment to turn the corner) or give them my full support to declare bancruptcy and help them rebuild there lives (been told by National Debt Line that no one will ever reccomend that as an option and have to decide ourselves) which is a bit of a tough one.

I still have loads of questions but have now not slept a wink for 37 hours - Think I need to try at least so I can get cracking on more letters tommorw.

oh yeah one more thing - National Debt line have strongly advised me to go to the FSA regarding the mortgage - The woman I spoke to has questioned, as I have, how they can justify the number of years taken out over (my dad will be 75 before its paid without a pension plan in place) Will keep you posted on this one!!

b0rk

andyse13 wrote: »

The minibus is still being paid for on finanace - Balanace around £16k. Due to recent damadge probably only worth £8k. Would they get into trouble if they sold this pretty quick to pay the mortgage and urgent debt instead of repaying the finance?

How is the van loan structured secured or unsecured (against the van that is)? is a Hire purchase agreement, lease purchase, finance lease or contract hire finance plan? Is the registration document in his name or finance companies?
If it is any of the above then legally the finance company own it not your father, selling it without their permission and without the ability to settle the outstanding balance in full is theft.

Before you sell it speak to the finance company, in all likelihood the best case is they allow him to walk away with nothing more outstanding in return for handing the vehicle back. Worst case is they decide to accept only full payment. Obviously in the case of bankruptcy or his business folding they'll take it back. What they will not do is write off the debt and allow him to keep the van.

Crown

Hi Andy, Excellent News with regards to the Rip Of Merchant Firm.

Please make sure you get some well earnt rest. You will be no good to anyone if you make yourself ill by not sleeping. Its a long battle so dont fall at the first hurdle. There a tons of questions im sure and we will try and help answer them to the best of our knowledge. Keep us informed and hope things go well,

Regards

Crown