Property in Tenerife safe in the event of bankruptcy?

hum_lovely

My partner is considering bankruptcy (although his assets outweigh his debts) as he cannot keep up with the huge interest, charges and repayments on his overdrafts, loans and mortgages. He has a home in this country and an aprtment in Tenerife which has a lot of equity in it. He is trying to work out whether to stop repaying some of the debts (and which are priority) or whether to go for bankruptcy. He accepts he may lose the home in England but is pinning his hopes on keeping the place in Tenerife as he has a lot of equity in that. Is this realistic and does anyone have any advice or experience of this please?
Many thanks in advance and many thanks to everyone who has posted on this forum as it is very useful.

tigerfeet2006

Hi and welcome to the board.

The OR will look to realise ALL assetts he has to give to his creditors and pay himself.

He may be given the oppurtunity to buy his benifcial interest off the OR.

peachyprice

To add to what Tigerfeet has said, he will have to declare his property in Tenerife on his forms, if the equity is larger than his outstanding debts the judge can refuse his petition on the grounds that he is not actually insolvent.

skylight

Mmm. Would the sale of the Tenerife flat cover his debts? Then why not go down that route? Otherwise, its highly unlikely he will get to keep both, and why should he?

Bankruptcy is not a case of having your cake and eating it. Its harsh and not to be entered into lightly. If he is desperate to keep the flat, then he needs to look at other routes to sort out his debts.

Has he spoken to on of the debt charities? Payplan or CCCS are a good place to start. They can go through all his options.

Waspeze

hum_lovely wrote: »

My partner is considering bankruptcy (although his assets outweigh his debts)

Thats the bit that worries me .. I thought in order to go BR you had to be insolvent.. from that bit it looks like the OP's OH isn't so would BR actually be given?

peachyprice

Yes, that's what I though too Waspy.