Questions and what do I need to plan in advance?

melorablack

I owe near 30k in unsecured debt. Long winding story about how it happened but I can't get it under control. I think this is my best option.

1. Do I need to separate my banking from my husband? He has his own significant debts but does not want to go bankrupt.

2. My husband is the trustee of a property which was bought by a relative (b) for another relative (c) to live in. Will me being bankrupt affect this? He paid nothing towards the property and will not receive anything from it unless relative c dies (not likely as she is young). I have nothing to do with the legal arrangements/potential inheritance as my name is not on any paperwork.

3. I'm currently employed but not yet paying tax (not reached my threshold) so my net pay is higher than it should be, I presume this needs to be explained?

4. My employment is fixed term and due to end in summer next year. Do I need to explain this in advance? I am a teacher so I will hopefully be able to get another job but "hopefully" isn't definite.

(I also have plans to pursue a phd but will this be impacted by bankruptcy?)

5. We rent and I've checked our original credit agreement and it doesn't say anything about bankruptcy. I can't find the most recently renewed agreement so I need to contact the letting agents and ask for a copy.

6. This may be shallow, but my kids have swimming, sport and piano lessons which I contribute towards the cost. Will these need to stop? I've messed up our life enough already, I feel so guilty I may ruin this for them.

I think these are my most pressing questions - as you can see from posting at this time in the morning, I'm having lots of sleepless nights over this situation.

ToxtethO'Grady

1. Do I need to separate my banking from my husband? He has his own significant debts but does not want to go bankrupt.
A. only if it is a joint account - if you have your own account it shoudl only be your account affected
2. My husband is the trustee of a property which was bought by a relative (b) for another relative (c) to live in. Will me being bankrupt affect this? He paid nothing towards the property and will not receive anything from it unless relative c dies (not likely as she is young). I have nothing to do with the legal arrangements/potential inheritance as my name is not on any paperwork.
A. as long as you have no beneficial interest in the property or legal claim (you are on the deeds, paid towards the deposit or mortgage payments) then it should not be affected
3. I'm currently employed but not yet paying tax (not reached my threshold) so my net pay is higher than it should be, I presume this needs to be explained?
A. When you say threshold what do you mean? Your personal allowance should be £11K and if you don't earn over this you won't pay any tax so this will not come in to any calculation by the OR
4. My employment is fixed term and due to end in summer next year. Do I need to explain this in advance? I am a teacher so I will hopefully be able to get another job but "hopefully" isn't definite.
A. Yes all changes in circumstances should be explained on your application if you are aware of them when you go BR - stops questions later
(I also have plans to pursue a phd but will this be impacted by bankruptcy?) A. Depends what your phd is in, a lot of professional bodies don't allow you to be BR
5. We rent and I've checked our original credit agreement and it doesn't say anything about bankruptcy. I can't find the most recently renewed agreement so I need to contact the letting agents and ask for a copy.
A. It's not a credit agreement it's a tenancy agreement and even if there is no insolvency clause the landlord can decide not to renew the tenancy when it comes up for renewal. Shelter are the best people to speak about tenancy agreements, what it is has a bearing on the impact. Most letting agents can check the insolvency register if you are named on the tenancy agreement it could have an impact. It will show on your credit file for 6 years.
https://www.gov.uk/search-bankruptcy-insolvency-register
6. This may be shallow, but my kids have swimming, sport and piano lessons which I contribute towards the cost. Will these need to stop? I've messed up our life enough already, I feel so guilty I may ruin this for them.
A. the OR uses the household expenditure survey and if the lesson are classed as too costly you would not be expected to contribute to them. They go on an average
https://www.gov.uk/government/publications/insolvency-service-household-expenditure-survey-in-connection-to-income-payment-agreements-ipa