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hope4thefuture
Starting Member
6 Posts |
 Posted - 09 November 2010 : 22:13:10
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Hi, I am going Bankrupt in the next few months and i'm very worried about alot of things....Could you HELP ???
We have been advised that Bankruptcy is the best option, and i'm O.K with that!
What I am worried about is where will we live after our house is repossessed ?
I am married and we have 5 children...I have registered for a council house and I also called them and they said there was a 5 year waiting list (GREAT)!!!! |
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gettingoutofdebt
forum expert
2418 Posts |
Posted - 10 November 2010 : 08:58:03
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You need to plan your BR. Have you missed any mortgage repayments so far? If not then the mortgage company could take 6 months or so to repossess the property.
What a lot of people who give up their property as part of their BR do is:
- Stop paying the mortgage and other creditors several months before declaring BR
- Use the money they save from not paying creditors to pay for their BR and a deposit on a rental property
- If rental property is your only option then it is much easier to rent the property prior to declaring BR. Most rental agencies carry out a credit check and after BR it will be very difficult to get a property from an agency unless you have a large deposit i.e. 6 months worth
- You can always try to rent a property from a private landlord as these don't normally carry out credit checks
A lot of people will also move out of their home a week or so after declaring BR and give the property up for voluntary repossession. This means that the address of their new, rented, property is not associated with their BR. |
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hope4thefuture
Starting Member
6 Posts |
Posted - 10 November 2010 : 09:15:12
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Thankyou gettingoutofdebt,
I owe about 1 month on the mortgage...I've been advised to stay where I am and wait to made Bankrupt and because I have 5 children the courts and the council have a duty of care to re-home us....this then leaves me in a dilemma on whether to rely on them or to take the bull by horns and rent now before being made BR...Hope this makes sense! |
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Bigal4787
forum expert
United Kingdom
641 Posts |
Posted - 10 November 2010 : 10:48:42
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Hi,
another option is the MRS(mortgage rescue scheme), which basically is a mechanism whereby you would be able to stay in your home, as by the sounds of it with 5 children you may qualify,but the following link should answer some of your questions about it, and what you need to do.
http://www.direct.gov.uk/en/HomeAndCommunity/BuyingAndSellingYourHome/Mortgagesandrepossessions/DG_174005
The link should provide enough information for you to make some enquiries and establish whether it is suitable for you.
Big Al |
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hope4thefuture
Starting Member
6 Posts |
Posted - 10 November 2010 : 12:41:58
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Thankyou Bigal4787,
I think the mortgage rescue scheme sounds a good idea....i'm gonna check it out !!! Thaks again 
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hope4thefuture
Starting Member
6 Posts |
Posted - 10 November 2010 : 15:38:08
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Been on the phone to the council and they won't help !!!!
My other problem is that I am in and IVA and have been for 1 year (£47,000)and the house is worth the same as the mortgage and a secured loan to a total of (£275,000)...my only option is to go BR (I think), but the main problem is where to live after the house has been repossessed, then all 7 of us could be on the street  |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 10 November 2010 : 16:35:43
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Hi hope4thefuture,
You really need to speak to your IP as if you do want to declare bankruptcy, then it needs to be failed. Your IP also knows your case so can advise you.
If you weren't paying your IVA payments, could you afford your mortgage and secured loan payments comfortably?
Do you want your home to be repossessed? Or do you want to stay in your home after the bankruptcy? Which is possible if there is no equity?
Viki Warbrooke
Vincent Bond & Co
If you would like free advice on all options available and help with your bankruptcy petition please contact me at http://www.vincentbond.com/about_us_Viki_Warbrooke.asp
Please read my experience of debt via my blog at http://vikiw.blogs.iva.co.uk/ |
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hope4thefuture
Starting Member
6 Posts |
Posted - 10 November 2010 : 18:44:09
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Hi Viki.W,
Thankyou for your reply. I know about someone buying the beneficial interest for £1, but I really cant afford the mortgage and secured loan even without the IVA payments....so we have both decided to throw in the towel as far as the house is concerned its just findind somwhere else to live for us all as cheaply as possible (easier said than done). THANKYOU
Rgds |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 10 November 2010 : 19:43:49
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If Jane is looking in she will be able to tell you of her situation, it's similar to yours.
If I'm not mistaken, she went into private rented accomodation first, then went BR and had house repossessed and then got on the council housing list, and she got a fab house very quickly.
Maybe you could temporarily go into cheap rented?
I'm sure Housing will give you some good advice when he looks in.
Viki Warbrooke
Vincent Bond & Co
If you would like free advice on all options available and help with your bankruptcy petition please contact me at http://www.vincentbond.com/about_us_Viki_Warbrooke.asp
Please read my experience of debt via my blog at http://vikiw.blogs.iva.co.uk/ |
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hope4thefuture
Starting Member
6 Posts |
Posted - 10 November 2010 : 20:59:26
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Thankyou for your advise Viki.W.....I hope Housing gets in touch soon...God this is so confusing  |
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Topic |
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Where will we live after our house is repossessed ?
