Please help I'm so worried

sleeplessnights_2

Hi All

This my 1st posting on here, even though I have been reading your posts for a number of weeks. My partner and I our about to declare ourselves Bancrupt but I am so worried and scared, I am struggling to sleep at night

Background -

Home worth approx - 170k
Car worth approx 15k
Loans and Credit Cards - 45k

Please could someone help me with the following questions -

1 - My partner has been relocated with his job and travelling 200miles a day, we tried to sell the house for months but with no joy, so we have rented a house we will get the keys this week? should I tell the OR about the rented house?? We are fine about loosing our mortgaged home as it has so many bad memories of arguments and sleepless nights, but I don't want to loose the rented house and be homeless as the lady in the estate agents is not very friendly

2 - My partners pay plan has just changed and will no longer be allowed to have a monthly bonus it will possible be paid on 6 or 12 months

3 - Will the OR contact BT / Sky etc as I have just changed them over to the new house

I'm sorry so many questions I'm just so scared and this week is the 1st time ever I have not paid mortgage loans etc...

p.s - I'm still paying bt / gas electic...

xx Sleeplessnights xx

desperate_mum_3

Welcome .... you made the first step in the right direction being here . I am sorry I can't help with first 2 questions but someone will be along soon who can . But I know in my situation that I was up to date on sky , bt , monthly mobile bills etc and the OR was only interested in letting know who I owed money to so you should be ok . I won't say 100% because OR's do tend to work in different ways but if you don't owe a person money I don't see why they should need to know .
I won't make it sound easy or make light of BR but it really isn't as bad as you dread ...honest ....I survived to tell the tale with the help of everyone on here so my advice is check on here every day , ask lots of questions and read as many posts as possible .
I finally sleep well at night now and life is so much happier and less stressful ...yours will be too . Good luck ,x

worried123

Hi

I have just read your post and although I cannot be of much practical help I really feel for you and I am so sorry that you are going through so much stress and worry.

I went bankrupt about three weeks ago and although I do not actually own a house, everything has gone really well and I now feel healthier and calmer than I have in a very long time.....Also, my OR is a very nice man - I think that most here will say they are very human etc......

Becoming bankrupt is not as scary as it appears.....however, you do need good advice and help from others on here who know exactly what your particular bankruptcy will entail....people like Fermie are fab and I got so much help on here before I became bankrupt that I was well prepared.

I personally would think that you absolutely should tell the OR about your rented house - infact I think that you will have to. I was worried about my landlady finding out that I had become bankrupt...not that she would have minded...but I just did not want her to know...My OR did not inform her at all - I think you will find that providing you are actually paying the rent and everything is up to date the OR will not tell your landlord.....I asked mine beforehand not to inform her and showed him my latest bank statement with my rent having been paid......I attached sheets to my actual bankruptcy forms about all of the things I was worried about and handed them in at the court on the day....I was worried about losing my car but wrote a long reason why I needed it for my work etc.....
I know that your husband needs his car for work but I am not sure that you would be able to keep a car worth 15K - mine is worth around 4K and I need it for work....I was allowed to keep it as I said that I had a valuation done at £2,500......but one of 15K is worrying.....I have to say that in my opinion you might well lose it and be given back a smaller amount to buy a cheaper car.
Please do not consider disposing of the car before you go bankrupt as the OR will find out and it will not sit well with your bankruptcy....I am really so sorry to be telling you this but it is best to be prepared......I actually sold a house about four years ago...there are no profits left from the sale but I had considered not putting it in the bankruptcy form.....a family member urged me to....and thank heaven that I did because had I not, it could have had serious consequences and the OR might not have let me keep my car at all.
I think the best thing is to be completely honest with OR.

Just a thought - would the sale of your house pay off your debts at all?? - that way you would at least be able to keep your car if you are spared bankruptcy......or maybe otheres here can give you the right advice - maybe there is a way that you can keep your car intact and the OR holds on until the sale of your house....

I know that it is easier said than done but please try not to worry too much - somebody will be along to give you good advice.

I am really sorry again....take care......very best wishes and good luck.

sleeplessnights_2

Thank you desperate mum and worried 123, for you advice its made me feel a little better.

I'm not worried about keeping the car, when we can afford it I will get a little cheap one but until that day I can use the bus.

I am just so worried about this rented house of which we get the keys this weekend, but knowing that we were going to loose the house and all the bad memories we just didn't want to stay plus my partner having to travel 4 hours a day - the new one is so close to work for him. I am sooooo scared that weve done wrong and the estate agents will take it off use. My friends say don't tell the OR before hand but I'm scared not to tell the truth but then again sometimes I get into trouble as I'm too honest - what should we do, I'm panicking so much.

Oh also I have recently bought a washing machine and fridge as the ones in our house our all built in - will that go against me???

Oh and I panicked and bought my partner a new suit for work and shirts and shoes - as we haven't bought him anything for so long will this go against us, the reson I did it is that I thought if I don't buy them I don't know when we will and his trousers had worn away.

I'm so sorry to go on but I feel so down, I've spent the last 5 years fighting this thing never missing a payment, spending nights up worrying and this month is the 1st month I have stopped all d/d, and I guess its finally hitting me, I just can't stop crying....

I keep trying to think positive as when I read all you comments - you all seem to right that it wasn't as bad as you were thinking, and I keep trying to tell myself this - it works for 10 mins and then the tears start....

thanks for listening and I hope you can help

Sleeplessnights xxx

Richard_S

Hi sleeplessnights,

It's not very often a question can be answered in one paragraph but your concerns about the rented house are straightforward.

You can't afford the mortgage of the house you own and the associated travel costs so you've rented a property close to where your O.H works. It's a sensible measure that the O.R will have absolutely no problems with. It wouldn't be posssible to hide it from the O.R and what's the point of deception when you've done nothing wrong.

The items you've bought recently are essential expenditure; again nothing to worry about, you've done nothing wrong.

Regards

Richard

sleeplessnights_2

Hi Richard

Thank you for your relpy it really helps - greatly!!!

Do you think the OR will contact the agent becasuse shes so cold and very unhelpful. I have looked over the tenancy agreement and it doesn't seem to mention anything about bancruptcy, but we had to have a credit check done and the forms said have you ever been bancrupt ?? so we replied no, because we havn't so far!!! - do you think we have been dishonest it was the start of August!!!

I'm just scared they will contact the Estate agent and and they will ask us to move out, we are going to pay 2 months upfront but we can't afford 6 months!!!

Thanks in advance

:rolleyes:

fermi

You filled in the credit check forms honestly, so there is no problem there.:)

If you can provide a tenancy agreement to your OR and show that you are up to date with the rent, the majority of OR's will agree not to contact the landlord/agent.

However, if your financial position with respect to the tenancy is unsure then they do have a duty to inform the landlord/agent of the bankruptcy.

Yours normal legal rights as a tenant will not be affected by the BR.

earwig

sleeplessnights wrote: »

Hi Richard

Thank you for your relpy it really helps - greatly!!!

Do you think the OR will contact the agent becasuse shes so cold and very unhelpful. I have looked over the tenancy agreement and it doesn't seem to mention anything about bancruptcy, but we had to have a credit check done and the forms said have you ever been bancrupt ?? so we replied no, because we havn't so far!!! - do you think we have been dishonest it was the start of August!!!

I'm just scared they will contact the Estate agent and and they will ask us to move out, we are going to pay 2 months upfront but we can't afford 6 months!!!

Thanks in advance

:rolleyes:

we went bankrupct while living in rented house had no probs but the or did say it was best to inform the landloard of the bankrupcty which we did with no problems you dont have to tell the lettin agent anything just your landlord my letten agents to this day no nothing of our bankrupcty so dont worry if the or dose not inform you to tell your landlord then dont you will be doing nothing wrong please dont hide anything from your or it will only look bad for you when you have no reason to as long as you pay the rent on time you should have no problems with it at all

sleeplessnights_2

thank you fermi and earwig for you advice, I would rather be honest because if not I will spend half my time worrying about it.

Just another question - As technically we still own our mortgaged house what shall I do about the council tax, shall I call them and tell them that we have moved out???

Also I think I mentioned it earlier with my partner moving jobs and location hes pay has altered, previously he use to get his commision paid monthly which is what we lived on and when we took out the mortgage the bank took the whole amount of commision into account, but now he will recieve his bonus every quarter - what will happen with this.

Also over the last 4/5 months we have had terrible arguments about money so I had to move out and so couldn't continue at work so I'm currently not working.. will the OR look at this as bad!!!!

Thanks in advance

Richard_S

:beer:

sleeplessnights wrote: »

thank you fermi and earwig for you advice, I would rather be honest because if not I will spend half my time worrying about it.

Just another question - As technically we still own our mortgaged house what shall I do about the council tax, shall I call them and tell them that we have moved out???

Also I think I mentioned it earlier with my partner moving jobs and location hes pay has altered, previously he use to get his commision paid monthly which is what we lived on and when we took out the mortgage the bank took the whole amount of commision into account, but now he will recieve his bonus every quarter - what will happen with this.

Also over the last 4/5 months we have had terrible arguments about money so I had to move out and so couldn't continue at work so I'm currently not working.. will the OR look at this as bad!!!!

Thanks in advance

Hi sleepless,

If you tell the council when you move out they'll adjust the rates demand accordingly and you won't pay any rates after you leave the house. We had no problems with the councils concerned when we were moving houses.

If your partner receives a bonus quarterly then any income calculations will be based on a monthly average of salary plus bonus.

The reasons you're not working are perfectly valid and the O.R won't penalise you for what is essentially a stress related response to a very difficult problem, i.e.your financial situation.

Richard

sleeplessnights_2

Hi Richard

Thanks, what does concern me though is the monthly IPA will be alot higher taking into account his quarterly bonus, plus we don't have an amount it depends on how the business does... so some quaters could be higher that others and with it been a new position we are not sure what he will be getting, it all depends. I have been working out our allowances and what you our entitled to write down on your monthly outgoings and taking everything into account it seems more than his monthly amount.

Rent - £650.00

car tax£10.00
Insurance car£30.00
dry cleaning£10.00
TV License £12.00
Council Tax £110.00
Gas £30.00
Electric£30.00
Water £30.00
BT / mobile£52.00
House Insurance £30.00
Child Allowance£150.00
breakdown cover£10.00
prepaid prescription costs£20.00
Hairdressers£20.00
Petrol £120.00
Incidentals / personal expenses£100.00
Shopping £400.00
holiday fund[£60.00
Vision Express£30.00
cloths £80.00
cats£20.00
Dentist£50.00
car maintenance £50.00
Christmas birthdays £100.00

What do you think, his monthly salary is normally £1600.00 approx.

Many Thanks