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  • FIRST POST
    • BeccaGee
    • By BeccaGee 8th Jul 18, 8:33 PM
    • 25Posts
    • 3Thanks
    BeccaGee
    Husband bankrupt and Trustee wants to sell our house??!!!??
    • #1
    • 8th Jul 18, 8:33 PM
    Husband bankrupt and Trustee wants to sell our house??!!!?? 8th Jul 18 at 8:33 PM
    My husband was made bankrupt in October 2015 and everything was absolutely fine since then for nearly three years all is well.

    But now the trustee wants to sell our house?

    Canít I stay in it? He is bankrupt not me.
Page 1
    • AnotherJoe
    • By AnotherJoe 8th Jul 18, 8:46 PM
    • 11,441 Posts
    • 13,211 Thanks
    AnotherJoe
    • #2
    • 8th Jul 18, 8:46 PM
    • #2
    • 8th Jul 18, 8:46 PM
    Who owns the house ..Is there a mortgage on it ?
    • BeccaGee
    • By BeccaGee 8th Jul 18, 9:20 PM
    • 25 Posts
    • 3 Thanks
    BeccaGee
    • #3
    • 8th Jul 18, 9:20 PM
    • #3
    • 8th Jul 18, 9:20 PM
    It is jointly own between us yes there is a mortgage
    • AnotherJoe
    • By AnotherJoe 8th Jul 18, 9:45 PM
    • 11,441 Posts
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    AnotherJoe
    • #4
    • 8th Jul 18, 9:45 PM
    • #4
    • 8th Jul 18, 9:45 PM
    How much equity is there in the house ?
    • debt doctor
    • By debt doctor 8th Jul 18, 9:46 PM
    • 4,359 Posts
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    debt doctor
    • #5
    • 8th Jul 18, 9:46 PM
    • #5
    • 8th Jul 18, 9:46 PM
    Hi,

    The Trustee has up to 3 years to dispose of the family home, and can sell it to realise the bankrupts equity in the house. Your 50% share has to be returned to you.

    How much is the bankrupts share of the equity?

    DD
    Debt Doctor, Debt caseworker, Citizens' Advice Bureau .
    Impartial debt advice services: Citizens Advice Bureau Find your local CAB *** National Debtline - Tel: 0808 808 4000*** BSC No. 100 ***
    • BeccaGee
    • By BeccaGee 8th Jul 18, 10:18 PM
    • 25 Posts
    • 3 Thanks
    BeccaGee
    • #6
    • 8th Jul 18, 10:18 PM
    • #6
    • 8th Jul 18, 10:18 PM
    Our house is worth £420000
    Our mortgage is about £200000
    I cannot buy another house as I do not work though ?
    • silvercar
    • By silvercar 8th Jul 18, 10:57 PM
    • 38,123 Posts
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    silvercar
    • #7
    • 8th Jul 18, 10:57 PM
    • #7
    • 8th Jul 18, 10:57 PM
    So you would get about £100,000 equity out of the sale.

    The other option would be if you or another person could find £100,000 to buy the bankrupts share of the equity off the OR.

    If that is not an option and you can't find a property you could buy for £100,000, you would need to consider renting.
    • BeccaGee
    • By BeccaGee 8th Jul 18, 11:03 PM
    • 25 Posts
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    BeccaGee
    • #8
    • 8th Jul 18, 11:03 PM
    • #8
    • 8th Jul 18, 11:03 PM
    £100000 would not buy the same sort of house though. The OR will have to accept some sort of payment plan. We could probably afford £500 per month?
    • mitch2509
    • By mitch2509 8th Jul 18, 11:49 PM
    • 41 Posts
    • 58 Thanks
    mitch2509
    • #9
    • 8th Jul 18, 11:49 PM
    • #9
    • 8th Jul 18, 11:49 PM
    It would take you 17 years to pay back £100000, the or will not accept it.
    Debts at LBM (June 18):-

    Capital 1 - 413.46 Vanqqquis - £1676.43,First D Visa - £1578.73, Next - £2083.12, TSB - £5326.59,Barclaycard - £5195.01, Capital one me - £1359.99, Loan - £5702.31, Loan - £2739.99, Total £26,075.63
    • BeccaGee
    • By BeccaGee 8th Jul 18, 11:58 PM
    • 25 Posts
    • 3 Thanks
    BeccaGee
    Well then who will buy me a house?
    • Money maker
    • By Money maker 9th Jul 18, 12:00 AM
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    Money maker
    No one. You will need to rent.
    Please do not quote spam as this enables it to 'live on' once the spam post is removed.

    If you quote me, don't forget the capital 'M'

    Declutterers of the world - unite!
    • BeccaGee
    • By BeccaGee 9th Jul 18, 12:01 AM
    • 25 Posts
    • 3 Thanks
    BeccaGee
    Do we have to pay back the whole bankruptcy debt or just a maximum of £100000?
    • Tarambor
    • By Tarambor 9th Jul 18, 1:42 AM
    • 3,795 Posts
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    Tarambor
    £100000 would not buy the same sort of house though. The OR will have to accept some sort of payment plan. We could probably afford £500 per month?
    Originally posted by BeccaGee
    The OR doesn't have to accept anything. The OR will tell your husband what he's going to do. It doesn't matter what YOU think you could afford per month, your husband will fill out a statement of affairs and the OR will decide what he thinks your husband can have per month and there will be an IPA for the rest of his income above that. Things like holidays, cars over £1000, £50 haircuts, £100 pairs of shoes are a thing of the past for the next few years for your husband.

    Do we have to pay back the whole bankruptcy debt or just a maximum of £100000?
    If the OR can get the money via sales of assets and a 3 year IPA order, the whole bankruptcy debt, if not then as much as he possibly can. His job is to get as much money as possible to repay the people your husband owed money to.
    Last edited by Tarambor; 09-07-2018 at 1:46 AM.
    • BeccaGee
    • By BeccaGee 9th Jul 18, 6:33 AM
    • 25 Posts
    • 3 Thanks
    BeccaGee
    Up early as Iím not really sleeping very well at the moment with the worry!

    My husband hasnít had to pay anything to his bankruptcy for the past three years so I canít now have my house sold because of it!

    First job of the morning is to call the trustee and the or and explain the situation and offer a payment arrangement. I will start my offer at £250 per month knowing that I can raise it gradually to £500 as needed.
    • liamfromleeds
    • By liamfromleeds 9th Jul 18, 7:02 AM
    • 12 Posts
    • 40 Thanks
    liamfromleeds
    Reality
    Hi Becca,

    I feel a little amused by your posts and a little sorry for you. They are not going to take £250 a month or £500 a month when they can sell your house and get £100k straight away, you need to face reality a little. £250 a month is £3000 a year, it would take them 33 years to get the £100k.

    What would you do if you were them, take £100k in the time it takes to sell a house, a month or two, or take the £100k over 33 years? You've got to put yourself in their shoes.

    Don't mean to get you down but you have to be realistic.
    • AnotherJoe
    • By AnotherJoe 9th Jul 18, 7:08 AM
    • 11,441 Posts
    • 13,211 Thanks
    AnotherJoe
    Well then who will buy me a house?
    Originally posted by BeccaGee
    Why on earth do you think someone should buy you a house? Who will buy a house for the people who lost money because your husband didn't pay them?

    Your husbands bankruptcy will ultimately cost you his portion of the house which in practice means the house goes and you are left with your share of it but his share goes to settle as much as possible.



    Do we have to pay back the whole bankruptcy debt or just a maximum of £100000?
    Originally posted by BeccaGee

    Your husband has to pay back what he can from his assets, which in this case seems to be around £100k. Then it's wiped, which is what bankruptcy means. If he owed £50k, then he'd be left with £50k. If he owed £250k, then £150k will be wiped out.
    Last edited by AnotherJoe; 09-07-2018 at 7:12 AM.
    • BeccaGee
    • By BeccaGee 9th Jul 18, 7:09 AM
    • 25 Posts
    • 3 Thanks
    BeccaGee
    But I can explain that I do not work and so I cannot get a mortgage on my own and my husband probably couldn!!!8217;t now he is bankrupt!
    • AnotherJoe
    • By AnotherJoe 9th Jul 18, 7:15 AM
    • 11,441 Posts
    • 13,211 Thanks
    AnotherJoe
    But I can explain that I do not work and so I cannot get a mortgage on my own and my husband probably couldn't now he is bankrupt!
    Originally posted by BeccaGee

    Why do you seem to think you have a right to own a house? Plenty of people cant afford one. You now appear to be in that group, sorry.


    P.s. I got to say this, you've had three years to look into the consequences of bankruptcy and what it means for home ownership yet you appear to have done nothing about understanding them. Read this

    https://www.citizensadvice.org.uk/debt-and-money/debt-solutions/bankruptcy-2/is-bankruptcy-right-for-you/will-you-lose-your-home-bankruptcy/
    Last edited by AnotherJoe; 09-07-2018 at 7:27 AM.
    • fatbelly
    • By fatbelly 9th Jul 18, 7:24 AM
    • 12,973 Posts
    • 10,043 Thanks
    fatbelly
    Do we have to pay back the whole bankruptcy debt or just a maximum of £100000?
    Originally posted by BeccaGee
    I'm sorry if the tone here appears un-sympathetic. We do understand what is happening. If you had asked us 3 years ago what the chain of events would be, we would have set out exactly what is happening now.

    I'm sorry that I'm giving an even more negative answer to that question than the previous poster. It is the trustee's duty to find funds to cover the whole of the bankruptcy debt plus his own fees. Where a house sale is concerned these can be substantial - possibly £30k.

    He cannot have your beneficial interest in the property
    • liamfromleeds
    • By liamfromleeds 9th Jul 18, 7:35 AM
    • 12 Posts
    • 40 Thanks
    liamfromleeds
    You can buy a house outright with your £100k unless your in the London area, in which case you will need to move somewhere cheaper if you want to be a homeowner, plenty of 2 bed flats/ terraced's for around 100k in plenty of area's, I live in one myself in Leeds, ex-council
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