| T O P I C R E V I E W |
| harbourmaster |
Posted - 30 August 2008 : 21:54:20
We are just about to go into br next week. My question is what happens if we declare that we have equity in our houses and they are subsequently sold for less than the outstanding mortgage? |
| 15 L A T E S T R E P L I E S (Newest First) |
| John |
Posted - 02 September 2008 : 00:15:45
Hi
you're welcome harbourmaster.
Knowledge is power as they say and such a simple, relatively small, piece of advice can save your wife a tidy sum.
I just love it when that happens!!!
www.Bankruptcyhelp.org.uk
0800 078 9367 |
| harbourmaster |
Posted - 01 September 2008 : 18:17:35
Back home after a hectic day of meetings and trying to sort things out. A BIG thanks to John who has spent 40 mins on the phone with me. Given me some good pointers. This site is great keep up the good work everyone. |
| Needafriend |
Posted - 01 September 2008 : 10:00:43
Good Luck HM,
Keep us posted and we will keep answering your questions and being there in your time of need.
Keep Smiling
Jo :)
"There is light at the end of the tunnel, if you cant find it get a brighter torch"
You can read my blog here:
http://debtfreejo.blogs.bankruptcyhelp.org.uk/ |
| harbourmaster |
Posted - 01 September 2008 : 08:08:12
Thanks John
I am sure there will be more questions soon |
| John |
Posted - 31 August 2008 : 23:01:15
Hi
the information on the SoA should reflect the situation as at the day you declare your BR.
When you move into the new property you should contact the OR and inform him of your new address, phone number and the revised expenditure.
www.Bankruptcyhelp.org.uk
0800 078 9367 |
| harbourmaster |
Posted - 31 August 2008 : 20:31:27
Thanks for the quick response John. Another question now. As I was the principal of the company I was (well still am) authorised and registered with the FSA. This will obviously stop as soon as I go BR. As a result of this my income has fallen Dramtically!! now got a part time job with a salary of £12,000 per year. There will be no excess left after expenditure. The mortgage on our residence is £1650 a month so have to stop paying that. Rent for new house will be around £700 per month. Do I put the expected rent on the forms or do I put the current mortgage payments as that would leave me with a minus straight away. |
| John |
Posted - 31 August 2008 : 20:22:00
Hi H
in that case the OR will contact the finance companies re the cars. The OR will certainly want them to go back as this will release monthly disposable income and increase the possibility, and his return, on any IPA proposed.
Most vehicle finance houses would not let you continue anyway.
You should enter the details of each vehicle in the secured part of section 4 on your SoA.
You should also enter each vehicle again in the unsecured part. In the column asking for the amount owed put "0". In the reason for debt column write "potential shortfall".
This way the shortfall on each is captured in the bankruptcy.
It's a sticky one regarding the car in your wife's name that "belongs" to your son.
Obviously if he were 18 upwards you may be able to get the negative equity vehicle, and the finance, transferred to him.
www.Bankruptcyhelp.org.uk
0800 078 9367 |
| harbourmaster |
Posted - 31 August 2008 : 20:05:28
Yes thats correct John. It was a mortgage brokers!!!
Did employ 15 brokers and 4 admin staff and had 4 high street shops. Current "credit crunch" hasn't helped at all! What was left of the business has now been transferred to someone else. This happened before our decision to go BR |
| John |
Posted - 31 August 2008 : 19:25:33
Hi
do I take it you have no interest in "phoenixing" the company?
Has it been liquidated already?
www.Bankruptcyhelp.org.uk
0800 078 9367 |
| harbourmaster |
Posted - 31 August 2008 : 19:05:38
Hi John. The business is a ltd co. |
| John |
Posted - 31 August 2008 : 19:03:22
Hi
was the business you mention a partnership or a limited company?
www.Bankruptcyhelp.org.uk
0800 078 9367 |
| harbourmaster |
Posted - 31 August 2008 : 15:41:08
Hi C.G
Housing isn't a problem, we are very lucky in the fact that a close business friend owns 49 houses and he has told us if he has not got one empty that we like he will buy one for us. Couldnt have done this without him.
Another question now is cars!!!
As we HAD a very sucessful business we had nice cars but always on finance. Do I put these under the secured or unsecured section of the forms? The do notyhave any equity in them. (in fact mine is worth about £10,000 less than is owing!)
If we prove to the finance company that the monthly payments will be kept goiung will they let us keep the car? Not bothered about mine, it can go back and there is an instant £700 per month saving. Only worry is that my sons car is in my wifes name (who is also going BR) He is in the Navy and has not had credit and is too young to get credit so we did it in my wifes name for him. |
| Needafriend |
Posted - 31 August 2008 : 13:25:19
And No i did not tell my lender, i missed 2 payments so i would have the money for the fees and when we got back from the court i called them and made arrangements to pay the arrears back, which we are now doing over 9 months.
We dont want to move out yet as we can just about keep the house with the payments.
If we have to go we wont really know till end of May next year, then we will see which road is better for us then.
Jo
"There is light at the end of the tunnel, if you cant find it get a brighter torch"
You can read my blog here:
http://debtfreejo.blogs.bankruptcyhelp.org.uk/ |
| Needafriend |
Posted - 31 August 2008 : 13:23:15
Hi all,
On my form it says something like what the money was for, i wrote in mine "Possible shortfall" then it printed off.
I could not write an amount as obviously i did not know what that would be so i just wrote the outstanding amount for the whole mortgage.
Hope this helps
Jo
"There is light at the end of the tunnel, if you cant find it get a brighter torch"
You can read my blog here:
http://debtfreejo.blogs.bankruptcyhelp.org.uk/ |
| BankruptC |
Posted - 31 August 2008 : 12:17:55
Hi rv02,
I think this has been mentioned before. If I remember correctly the person said they had to write 'possible shortfall' in by hand afterwards because the online forms had no provision for it.
Jo says she did this too, so I'm sure she will tell you how she did it. I haven't done it yet so will be interested to see the answer too!
CG. x |
