Can you help me clear this up??

queenanne

Hi all,

My brother is in a lot of debt and considering bankruptcy as it seems to be his only option.

My question is, as he lives with our parents, will it effect their credit rating or their house? I'm sure I read somewhere that since he is their son they could sell the house to pay his debt. Is this right? Or am just reading it wrong.

Thanks

Lisakx

I was told it would affect credit rating of all in household. Bailiff's are only allowed to take items belonging to said person or joint owned by them, if that helps re: house sale I'm not sure.

fermi

queenanne wrote: »

My question is, as he lives with our parents, will it effect their credit rating or their house?

Assuming that he has no joint credit/finances with them (i.e. accounts/loans) then it won't effect them in the slightest.

queenanne wrote: »

I'm sure I read somewhere that since he is their son they could sell the house to pay his debt. Is this right? Or am just reading it wrong.

Unless he has contributed to the purchase of the property (i.e to the mortgage/deposit/upkeep and repairs) then that is also wrong.

Has he taken dome professional advice as to whether bankruptcy is the best option?

Links and numbers of the free impartial debt counselling agencies are in my signature.

fermi

Lisakx wrote: »

I was told it would affect credit rating of all in household.

No it doesn't.

Lisakx wrote: »

Bailiff's are only allowed to take items belonging to said person or joint owned by them, if that helps re: house sale I'm not sure.

The official receivers don't use routinely use bailiffs, OR normally send ANYONE to your house for that matter.

fermi

Forgot to add. MSE has a forum for questions regarding bankruptcy:

Link: Bankruptcy & Living With It

queenanne

Thanks. Noticed the other forum after I'd posted!

We've tried other routes, this is the last resort.