I am probably going to declare myslef bancrupt v soon.
I have a charge on the former matromonial home whch was agreed in the divorce consent order. It is approx 18% of market value of property. The property is now jointly owned by my ex wife and her partner. We seperated in Jan 2005 and divorced in Dec 2005. The property/deeds are now in their joint names. The consent order states that my ex wife does not have to pay me my charge on the property until the children have completed thier full time tertiary eductaion (up to first degree level)which could be 3-6 years time depending on how long they stay in full time education.
I have tried to reach a settlemnt with my ex wife. I offered her to buy out my charge for £27k whith the intention of using that as full & final settlement offers to my creditors. However she has decliend saying she is unable to obatian the money. I have since advised her I may be declaring myself bancrupt.
I should also point out that I'm likely to get a restriction order extending the period of the bancruptcy becuase I borrowed money knowing I couldn't repay and gambling. All the debts I have are unsecured loans/credit and they have all been incurred by me since i seperated from my ex wife.
I understand that I will have to declare this charge as an asset. can you advise me what the OR wil do with regard to the charge. My debts are approx £35k and the charge is probably worth about 40K at todays market value.
as far as i am aware, if the charging order was made by a court with the divorce proceedings then the OR or likely an appointed trustee will have to wait until the children are of an age whence the order can be obtained, ie. in 3 to 6 yrs time the trustee will want the 18% of the property and can force the sale of the property at that time, or offer her to buy it.
Dave
Don't worry or know that worrying is as effective as trying to solve an algebra equation by chewing bubble gum.(Baz Lurhman) RevivaUK and Paul Johns helped me through it all i can't recommend them enough!!
Actually, it could be worse than that & they could want the money sooner. Does she know you are going bankrupt?
Hi RHB, it does say i have informed my wife. Are you saying the OR has power/authority to overturn a court order? I'll try Reviva for some definetive advice on this matter, but thanks anyway.
it is HIGHLY unlikely that any OR or trustee would be successful in overturning matrimonial court orders such as yours some have tried and all failed in the high court realistically the equity is not yours(or theirs) until the terms applied to the order come into effect however there are things that your ex could do to minimise the cost to her when the trustee can apply for the equity ie. change to interest only mortgage so she is not increasing the equity in the property for the next 3-6 yrs just to have to buy it back
Dave
Don't worry or know that worrying is as effective as trying to solve an algebra equation by chewing bubble gum.(Baz Lurhman) RevivaUK and Paul Johns helped me through it all i can't recommend them enough!!
I am probably going to declare myslef bancrupt
Posted - 16 February 2010 : 21:29:52
