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Angela.97
Starting Member
45 Posts |
 Posted - 07 June 2012 : 07:43:26
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| What will happen to my house ? No equity, might be a shortfall |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 07 June 2012 : 07:46:47
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Do you want to keep your home Angela?
If not, then any shortfall arising from a repossession will be covered in your bankruptcy.
If you do want to keep it, then you can buy back the beneficial interest, or wait until 2 years and 3 months when the house wil be valued again.
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 |
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year 2029
Average Member
590 Posts |
Posted - 07 June 2012 : 13:15:44
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Hi Angela, could you or a family friend/relative afford to purchase the beneficial interest?
Usually £1000 plus VAT if in negative equity or near.
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Views expressed are my own personal views, based on what has happened during my own BR process unless otherwise stated.
Professional advice should always be sought. |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 07 June 2012 : 14:58:29
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Angela, you can save the money up yourself and buy your own beneficial interest back.
Speak to the OR when you have your meeting.
I can't remember from your previous posts whether you wanted to keep your home or not.
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 |
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year 2029
Average Member
590 Posts |
Posted - 07 June 2012 : 15:06:23
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If the OP can save up the money, wouldnt that excess be in an IPA?
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Views expressed are my own personal views, based on what has happened during my own BR process unless otherwise stated.
Professional advice should always be sought. |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 07 June 2012 : 15:13:45
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Lots of my clients who have had an IPA, and have not had an IPA have managed to put money aside to buy back the beneficial interest.
If you don't use your emergency fund one month, or don't have your hair cut, or spend a little less at the supermarket, it can all mount up.
Also, recently, one of my clients sold all her old baby's stuff, cot, pram, toys, etc (now her little one is a bit older) on ebay and also at a local car boot sale and made nearly £400!
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 |
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Skippy
forum expert
United Kingdom
3290 Posts |
Posted - 07 June 2012 : 15:14:11
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If it's excess then yes, but I wouldn't have thought it was a problem if someone made cutbacks and sold on Ebay, car boot sales etc.
View my blog at http://skippy13.blogs.iva.co.uk/
Only when the last tree has died, the last river has been poisoned and the last fish has been caught will we realise that we cannot eat money.
Last IPA payment made on 28th June 2010 and I'm now looking forward to getting married in September 2012 - I'm proof that you can go BR and come out the other side. |
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debtinfo
forum expert
2826 Posts |
Posted - 07 June 2012 : 15:33:21
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| Another possibility is that someone may have a surplus but only have benefit income that would not be subject to an ipa |
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year 2029
Average Member
590 Posts |
Posted - 07 June 2012 : 16:05:53
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If you can make cutbacks, then surely to the letter of the law your personal circumstances have changed?
Ebay/boot sales are a good idea for outgrown/unwanted items I agree.
As for having benefit income not in an IPA, that is also true, however, it is quite difficult to have benefit income and have a mortgage?
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Views expressed are my own personal views, based on what has happened during my own BR process unless otherwise stated.
Professional advice should always be sought. |
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 07 June 2012 : 16:16:39
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I wouldn't have thought so. I know an IVA is different but you are allowed to make savings and, as Viki says, if you don't use your emergency allowance there is no reason why this cannot be allowed to build up.
As to the benefit income, we have no idea how much is received or how much the mortgage is.
We do need Angela to come back and let us know if she wants to keep the property. We can then advise accordingly.
Follow through
Make your dreams come true
Don't give up the fight
You will be alright
'Cause there's no one like you in the universe
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year 2029
Average Member
590 Posts |
Posted - 07 June 2012 : 16:31:29
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I was not aware of an 'emergency allowance'.
What is this based upon?
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Views expressed are my own personal views, based on what has happened during my own BR process unless otherwise stated.
Professional advice should always be sought. |
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Niobe
Administrator
United Kingdom
4590 Posts |
Posted - 07 June 2012 : 16:33:31
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I assume that Viki knows what she is talking about as she is one of VBN's bankruptcy staff and she was the one who originally mentioned it.
Follow through
Make your dreams come true
Don't give up the fight
You will be alright
'Cause there's no one like you in the universe
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Skippy
forum expert
United Kingdom
3290 Posts |
Posted - 07 June 2012 : 16:42:09
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As far as I'm aware there is an allowance of £10 per person in the household before.
View my blog at http://skippy13.blogs.iva.co.uk/
Only when the last tree has died, the last river has been poisoned and the last fish has been caught will we realise that we cannot eat money.
Last IPA payment made on 28th June 2010 and I'm now looking forward to getting married in September 2012 - I'm proof that you can go BR and come out the other side. |
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year 2029
Average Member
590 Posts |
Posted - 07 June 2012 : 16:55:02
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I was only stating I was not aware of it.
I asked what it was based on so that I could make my own enquiries within my own BR.
Armed with some facts could prove useful to myself and others currently going through BR.
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Views expressed are my own personal views, based on what has happened during my own BR process unless otherwise stated.
Professional advice should always be sought. |
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Viki.W
forum expert
United Kingdom
2211 Posts |
Posted - 07 June 2012 : 17:01:10
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Yes Tracey is correct, £10 per dependant person living in the household.
I've copied and pasted extract from the Insolvency Service website below:
An allowance for sundries and emergencies of £10 per month for the bankrupt and £10 per month for each dependant household member may be included as an expense in all income and expenditure assessments commenced after 1 December 2010 for a new IPA/IPO
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 |
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debtinfo
forum expert
2826 Posts |
Posted - 07 June 2012 : 18:20:20
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Yes it was introduced as a slight buffer zone when the IPA went from a percentage of surplus and the full amount of surplus,
Just to add that if you over estimate an expense for instance your rent toleave you with savings then that is obviously wrong, but if you were to sell some household assets on ebay for instance then that is different as that is an asset rather than an income and moreover an asset that is exempt from the bankruptcy. |
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Topic |
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What will happen to my house ? No equity, might be a shortfall
