SOA - Help Please!

[Deleted User]

Have you tried SAYNOTO0870?

Sparkles87

The HP is a car lease, so it ends in two years and we will hand back the car.

The mortgage is a nightmare to be honest, it's a fixed rate until 20198 and will therefore cost us just over £4k to surrender as obviously we're in no position to buy anything else!

I don't have a clue on the house figures, we were forced into moving for my husband's job and it wasn't selling so we got permission to let for a year - I know nothing about letting property at all!

Stepchange weren't actually able to help because of the amount of debt that's in my name only. Apparently I'd need a DMP on my details only and they can't give me advice on my husband's SOA as he'd have to speak to them. So now I'm completely at a loss!

Sparkles87

Bedsit_Bob wrote: »

Have you tried SAYNOTO0870?

A few times with varied success, got to be worth a try though

HappyMJ

Sparkles87 wrote: »

The HP is a car lease, so it ends in two years and we will hand back the car.

The mortgage is a nightmare to be honest, it's a fixed rate until 20198 and will therefore cost us just over £4k to surrender as obviously we're in no position to buy anything else!

I don't have a clue on the house figures, we were forced into moving for my husband's job and it wasn't selling so we got permission to let for a year - I know nothing about letting property at all!

Stepchange weren't actually able to help because of the amount of debt that's in my name only. Apparently I'd need a DMP on my details only and they can't give me advice on my husband's SOA as he'd have to speak to them. So now I'm completely at a loss!

For DMP, IVA and BR purposes you need individual SOA's. You wouldn't actually have to pay anything as you are liable for 50% of the household expenses yet only earn £630 in your name plus half the joint household income which is the child benefit. Stepchange can't really help unless your partner wishes to voluntarily pay for your debt which he doesn't have to and Stepchange won't force that so won't help. You could offer £1 a month to your creditors or you could offer nothing and allow the debts to default. After 6 years they'll become uncollectable.

You would leave your property out of the SOA completely as the rent received covers the mortgage, the service charges, buildings insurance and gives you a very small emergency fund for property repairs.

[Deleted User]

Sparkles87 wrote: »

it's a fixed rate until 20198

OMG, an 18,183 year mortgage. :eek:

Sparkles87

Bedsit_Bob wrote: »

OMG, an 18,183 year mortgage. :eek:

2018. Sorry!

Sparkles87

HappyMJ wrote: »

For DMP, IVA and BR purposes you need individual SOA's. You wouldn't actually have to pay anything as you are liable for 50% of the household expenses yet only earn £630 in your name plus half the joint household income which is the child benefit. Stepchange can't really help unless your partner wishes to voluntarily pay for your debt which he doesn't have to and Stepchange won't force that so won't help. You could offer £1 a month to your creditors or you could offer nothing and allow the debts to default. After 6 years they'll become uncollectable.

You would leave your property out of the SOA completely as the rent received covers the mortgage, the service charges, buildings insurance and gives you a very small emergency fund for property repairs.

Would they then not expect him to pay the full joint loan amount?

HappyMJ

Sparkles87 wrote: »

Would they then not expect him to pay the full joint loan amount?

Yes they would. You can still enter in a figure equal to half of the rent you are paying of £725 and all the other living expenses and the total of all that exceeds your income.

The rental property is treated outside of all this as the rent just covers the mortgage secured against the property and the service charges. There is as you've said little profit from it and as you've also said selling wouldn't realise anything due to the fees and charges from selling. So just ignore it.

How many of the debts are only yours and not joint debts? You've got big loan, small loan and several credit cards. If you're thinking of defaulting do you both want to default or just the one of you. As I said you don't have enough income to service your own expenses and your share of the joint expenses let alone any of your debts so a DMP isn't appropriate. You could ask your partner to pay your debts for you until you earn more but Stepchange can't ask that of him so all they can suggest is pay £1 a month until your situation improves.

Sparkles87

HappyMJ wrote: »

How many of the debts are only yours and not joint debts? You've got big loan, small loan and several credit cards. If you're thinking of defaulting do you both want to default or just the one of you. As I said you don't have enough income to service your own expenses and your share of the joint expenses let alone any of your debts so a DMP isn't appropriate. You could ask your partner to pay your debts for you until you earn more but Stepchange can't ask that of him so all they can suggest is pay £1 a month until your situation improves.

The small loan is only mine, big loan is joint.

The cards are complicated, I've just worked out that the total owing is around 11k...only 2k of that is mine but 9.5k is in my name so I really don't know what to do for best. I guess just me default and pay £1 on cards in my name and try and keep minimums going on OH's cards?

sanfrancisco

You sound like you are trying really hard. It is stressful. Keep going though.

You need more information. Even though the house situation is galling and complicated sometimes it is just worth extracting yourself and starting afresh. If you can walk away with £4k then that is a positive. Before you default get exact figures from everyone. The mortgage loan people etc. when you go back to work will your income increase?

How would that situation look? Don't default on anything, increase income. Could you be debt free in 2 years and this is the key with an intact credit score? You could then spend 2 years saving and start again but totally in control.

I worried that your husband is not on board. He needs to stop spending and work as a team. It's s but !!!! having no money, but very !!!! when your in a marriage with both pulling in opposite directions.