Advice please

SAZMAZ_2

I will be declaring br soon, do i wait until my house has been repossessed, i already have somewhere else to live, or do i declare it as soon as the arrears are over £750. I cannot afford the mrtg and it is not in a rentable condition so it has to go. Do i have to attend court myself or can i submit the forms and payment? How long does the hearing take? I know not to sign any papers the mrtg company send as smallprint could make me liable for shortfall which will be approx 9k. Any advice please. Many thanks.

tigerfeet2006

First a question, do you have any other debts?

longtermplanner

You can declare bankruptcy whenever you want, you don't have to wait until after repossession.

But bankruptcy if you only owe 9k probably isn't your best option, hence tigerfeet asking if you have other debts.

Yes you have to attend court. (There are alternatives if you are to sick or otherwise unable to do this, but they are expensive.) The hearing will probably be less than 5 minutes.

SAZMAZ_2

Two debts to gas and electic of £300 each. I have recently completed an iva and i have recently had a baby who is registered as disabled, due to his ongoing and future health needs i am unable to return to work full time and they have refused to allow me to return part time so i have had to resign, from october i will be on benefits once my mat pay ends, this will not cover the mrgt. The house is unlivable and due to the iva i cannot get credit to make it liveable so it has to go. I cant rent it out as i cant afford it. My financial situation will not improve due to being registered as my babys parent / carer so i dont have any other option. Any help?

SAZMAZ_2

Two debts to gas and electic of £300 each. I have recently completed an iva and i have recently had a baby who is registered as disabled, due to his ongoing and future health needs i am unable to return to work full time and they have refused to allow me to return part time so i have had to resign, from october i will be on benefits once my mat pay ends, this will not cover the mrgt. The house is unlivable and due to the iva i cannot get credit to make it liveable so it has to go. I cant rent it out as i cant afford it. My financial situation will not improve due to being registered as my babys parent / carer so i dont have any other option. Any help?

thebritishbloke

Bankruptcy over £9000 is a very big step. You might be better off contacting StepChange to discuss your debts. Are you not entitled to benefits to care for your child full time?

tigerfeet2006

OK then, at this present moment in time I would say not to go BR. You need to take some advice from someone like National Debtline or Stepchange.

If you are on benefits and in a rental property you may find that a DRO is more approriate to your circumstances.

https://www.nationaldebtline.org/EW/factsheets/Pages/37%20EW%20Debt%20relief%20orders%20(DROs)/Default.aspx

SAZMAZ_2

The benefits i will get will still not cover a mrgt and bills, i am not entitled to child care until he is two years old, and i have no family nearby. My son will get dla and me carers allowance and i can earn up to £102 per week, this will not cover a mrtg council tax and basic living.
I can claim for interest to be paid on the mrtg for a short amount of time but i will not be able to pay it when this ends. I have done an income outgoing with the mortgage company and there is a huge difference. I dont have any assets and i do not have a phone contract or smoke or have anything else i can cut back on. My son requires frequent trips to hospital also so i need to be available. To be honest it feels like an exercise as i cannot see any other way out of this. I dont want to be left paying £10 here and there for the mrtg shortfall with bailiffs knocking at my door if i miss a payment.

SAZMAZ_2

It seems such a shame after i have successfully completed a 5 year iva (that wasnt my fault by the way ) that once again i find myself in this predicament, only im not full time employed anymore so i cant do this again.

tigerfeet2006

Please talk to National Debtline or Stepchange.

You will probably have to wait for the house to be repo'd and sold before you can go for a DRO but for that sort of debt BR seems like a sledgehammer when a hammer is needed.

But please, please, please talk to a debt charity.

SAZMAZ_2

thank you for your advice, i have contacted stepchange and they have given a few suggestions. whatever happens though as long as me and my boy are okay thats the main thing. Many thanks.