Soa for Ipa purposes

Thatter38

Hi all
My husband and I are both declaring bankruptcy next week and are worried about an IPA. I know we both have to go bankrupt separately but from what I've been told the separate IPA's will be looked at with our joint income is that right? I've done a SOA and would appreciate any advice I've not included all the debt on the soa because it will be written off with the bankrupcy. I've also applied for a cash builder act with the co-OP for our wages and dd

Household Information[/b]
Number of adults in household........... 2
Number of children in household......... 1
Number of cars owned.................... 1

Monthly Income Details[/b]
Monthly income after tax................ 810
Partners monthly income after tax....... 1250
Benefits................................ 82
Other income............................ 0
Total monthly income.................... 2142

Monthly Expense Details
Mortgage................................ 543
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 125
Electricity............................. 60
Gas..................................... 60
Oil..................................... 0
Water rates............................. 42
Telephone (land line)................... 10
Mobile phone............................ 65
TV Licence.............................. 12
Satellite/Cable TV...................... 27
Internet Services....................... 25
Groceries etc. ......................... 520
Clothing................................ 60
Petrol/diesel........................... 140
Road tax................................ 27
Car Insurance........................... 40
Car maintenance (including MOT)......... 50
Car parking............................. 20
Other travel............................ 40
Childcare/nursery....................... 0
Other child related expenses............ 40
Medical (prescriptions, dentist etc).... 35
Pet insurance/vet bills................. 60
Buildings insurance..................... 12
Contents insurance...................... 11
Life assurance ......................... 10
Other insurance......................... 0
Presents (birthday, christmas etc)...... 30
Haircuts................................ 35
Entertainment........................... 40
Holiday................................. 40
Emergency fund.......................... 50
Total monthly expenses.................. 2229


Assets
Cash.................................... 0
House value (Gross)..................... 85000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 85000


Secured & HP Debts
Description....................Debt......Monthly...APR
Mortgage...................... 82000....(543)......0
Total secured & HP debts...... 82000.....-.........-

Unsecured Debts
Description....................Debt......Monthly...APR
Total unsecured debts..........0.........0.........-


Monthly Budget Summary
Total monthly income.................... 2,142
Expenses (including HP & secured debts). 2,229
Available for debt repayments........... -87
Monthly UNsecured debt repayments....... 0
Amount short for making debt repayments. -87

Personal Balance Sheet Summary
Total assets (things you own)........... 0
Total HP & Secured debt................. -82,000
Total Unsecured debt.................... -0
Net Assets.............................. -82,000

brettcta

What falls under ‘groceries etc’ for £520 a month?

If you can stop paying into a holiday pot, and cut back your £60/month clothing along with ‘groceries etc’ that brings you back in-line. It seems a little extreme going for bankruptcy with that SOA.

MovingForwards

How much debt are you in?

You have a home, are you aware that is at risk of getting swallowed up in the bankruptcy?

Thatter38

Over 55k in debt between us and have a lot of advice and guidance from stepchange that bankrupcy is right option for us We have been advised we will have a year before the house will be sold due to our daughter living here there is hardly any equity in at all at the moment and it needs a lot of work the car was valued 800 on parkers and husband needs it for work.
Im not trying to look greedy with the SOA at all i just wanted some advice on it ... my husbands mental health is in a very bad way and the thought of being stuck in an IPA for 3 years he is really struggling with so i just wanted to know if it looks like we will be. Any advice I would be very grateful this really is the worse time in our lives

debt_doctor

Hi,

Your SOA is fine and within the accepted allowances. You should not get an IPA.

You are correct in that 'home rights' will give you one year before any sale can happen.

How will you raise a bond and deposit for a private rent in a years time AND with bankruptcy on your credit file?
If you are clear that you do not want the house, isn't it better to stop paying the mortgage and use that money to put you in to a reasonable private rent of your choice / budget?

Then you could go bankrupt and any shortfall in the mortgage at a future time would always be part of your BR, no matter when it happened.

DD