We are being made Bankrupt by our IVA providers!!!

fermi

Banco44 wrote: »

Thanks i will call them tomorrow (Or today as it now is)
CAB didn't think we could oppose the bankruptcy, they said all we might be able to do is get it adjorned for a bit due to DFD not following correct procedures, But i just wondering if thats just prolonging the inevitable and prolong the stress that me and the mrs are going through, i feel quite ready to just up sticks and leave the house and privatley rent, we've simpley just had enough!

That is an understandable sentiment in the circumstances, but as I was trying to say; get as much professional and free advice as you can before you resign yourself to that.

CCCS might be worth a go first, since they do have their own "in house" IVA provider. There is a chance that you might be able to speak to an advisor that knows the IVA system better than some others.

If they can't help directly then they may be able to suggest where to go, who to ask, and even who to complain to.

If worst comes to the worst and the BR goes ahead then there is plenty of support and help here to get you through it.

Banco44

Thank you again, its good to know we are not alone, it really does help.

im v tired now, im going to have to go to bed.

fermi

Same here.

These people might also be worth a call: https://www.insolvencyhelpline.co.uk

Banco44

fermi wrote: »

Same here.

These people might also be worth a call: www.insolvencyhelpline.co.uk

Thanks, i didn't get much sleep last night worrying about it all.

Can anyone tell me if it is ok to stop paying my mortgage now or have we got to continue paying it through out the bankruptcy until they take the house? CAB say stop paying it, is this correct?

fermi

It depends entirely on what you are trying to achieve. If you are going to try and keep the house or remain in it in the medium term then it would normally be OK to continue making mortgage payments.

Check with a professional before you consider doing that though.

This factsheet is worth reading: What will happen to my home?

In particular it says:

When will the Official Receiver or trustee sell my home?

The trustee will sell your home if this is the only way to release money to your creditors.

If your husband, wife or children are living with you, it may be possible for the sale to be put off until the end of the first year after your bankruptcy. This gives them time to make other housing arrangements.

After that time, if the trustee's interest in the house remains, the court will only refuse an order for sale in exceptional circumstances or if the value of your interest in the property is worth less than £1,000.

If you are just intending to go straight into rental, then you can do as CAB suggests.

In those circumstances you are under no obligation to continue making mortgage payments. The property will then be for the OR/trustee and mortgage company to sort out between themselves.

It would take many many months for the mortgage company to initiate and complete repossession proceedings even under normal circumstances.

Banco44

fermi wrote: »

It depends entirely on what you are trying to achieve. If you are going to try and keep the house or remain in it in the medium term then it would normally be OK to continue making mortgage payments.

Check with a professional before you consider doing that though.

This factsheet is worth reading: What will happen to my home?

In particular it says:

If you are just intending to go straight into rental, then you can do as CAB suggests.

In those circumstances you are under no obligation to continue making mortgage payments. The property will then be for the OR/trustee and mortgage company to sort out between themselves.

It would take many many months for the mortgage company to initiate and complete repossession proceedings even under normal circumstances.

Thats good to know, we were thinking of staying in the house for a couple of months not paying the mortgage in order to save up enough for deposit and rent on a new place, you think this would be ok?

beanielou

Only stop paying the mortgage if you have absolutly deceided that you are going for bankrupcy.

Banco44

beanielou wrote: »

Only stop paying the mortgage if you have absolutly deceided that you are going for bankrupcy.

Yes we are going through with the bankruptcy.
we are actively looing for rented accomadation and could be out of the house a couple of weeks after the court hearing.
Is this ok or will the present further problems with our mortgage company and/or the receivers?

coolcait

Hi there!

I'm a newbie to posting, but a dedicated lurker

I don't know how it works in England, but if it's anything like the Scottish system, maybe you can choose to make yourself bankrupt before someone else does it to you?

The advantage of that (in Scotland) is that you can nominate a trustee to administer your bankruptcy. If you go for the State (official receiver?) as your trustee, then that will probably cost less than if an insolvency practitioner is nominated.

But, like others have said, get as much free advice from the likes of CAB as you possibly can before you decide what you're going to do.

Good luck!

Banco44

coolcait wrote: »

Hi there!

I'm a newbie to posting, but a dedicated lurker

I don't know how it works in England, but if it's anything like the Scottish system, maybe you can choose to make yourself bankrupt before someone else does it to you?

The advantage of that (in Scotland) is that you can nominate a trustee to administer your bankruptcy. If you go for the State (official receiver?) as your trustee, then that will probably cost less than if an insolvency practitioner is nominated.

But, like others have said, get as much free advice from the likes of CAB as you possibly can before you decide what you're going to do.

Good luck!

As they debt free direct have already petitioned us for bankruptcy can we jump in there before them and petetion ourselves? But if we did this wouldn't we incurr the charges instead of DFD?