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wildberry
Junior Member
191 Posts |
 Posted - 02 August 2008 : 11:32:05
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hi, have just recieved the forms to send back to surrender our housand have read paragraph 7 which states
if you have any unsecured balances in the event that the proceeds of sale of the mortgaged property after deduction of costs of sale and associated expenses,exceed the monies in reduction of any unsecured borrowing.The foregoing is subject to any third party charges there may be against the property or your becoming bankrupt or entering into a formal agreement with creditors prior to completion of the sale of the property and application of proceeds of sale.
Does this mean they could chase us for the shortfall even though we have included it in our bankruptcy , just not sure about signing this or should I speak to our OR first .Would be grateful if you have any advice on this thanks. |
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BankruptC
Senior Member
1030 Posts |
Posted - 02 August 2008 : 11:37:01
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Hi there,
I'm not sure on the ins and outs of this at all, but we're looking to do the same thing. When we asked for advice on how to make sure the shortfall was included in the bankruptcy, we were advised that we must NOT sign anything from the mortgage company as it could mean we could still be chased for the shortfall.
As I say that's the advice we've been given so I would say don't sign or return anything without seeking advice first.
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John
New Member
United Kingdom
73 Posts |
Posted - 02 August 2008 : 11:54:12
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Hi
I confess that's a new one on me.
The fact is there is no need for you to sign anything so, to be on the safe side, don't.
In any event your signature on this document, if given, would be dated post bankruptcy so I would doubt that the terms could legally be applied.
www.Bankruptcyhelp.org.uk
0800 078 9367 |
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chris.g
Junior Member
United Kingdom
211 Posts |
Posted - 02 August 2008 : 16:51:39
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| It sounds similar wording that was on the form we completed when we gave our house back. I contacted our OR and were assured that any shortfall on the mortgage and/or secured loan would be absorbed by the br. |
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wildberry
Junior Member
191 Posts |
Posted - 02 August 2008 : 17:14:21
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| hi, thanks just wanted to make sure we do the right thing when sending forms back we have just had someone round to value the house and have another valuation being done next week and the value really has gone down. there is enough to pay off the mortgage but nothing I doubt for the secured loan. |
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Helen030166
Junior Member
United Kingdom
212 Posts |
Posted - 02 August 2008 : 17:32:36
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We are just about to voluntary surrender our property, (we could have kept it and brought the interest for a £1 plus fees but felt it would be cheaper to pay rent £500 pm instead of £903 interest only mortgage plus the bills are cheaper) and our OR has said as long as on yor BR forms where your property is mentioned you put "possible shortfall" the mortgage company cannnot come back to you for it if it is sold at a loss as this will come into your bankruptcy order. Hope this helps?
x
Thanks for your Help,Helen x |
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wildberry
Junior Member
191 Posts |
Posted - 11 August 2008 : 09:04:38
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| hi,we sent our voluntary surrender form back and recieved a call to say that it could not be accepted due to the fact we had deleted the section about shortfall and was told it was a legal document and we are not allowed to do this.Also that we are required to give them our forwarding address which we did not include.We are going to send our keys back with no forms on the day we move out,will it make any difference if we just let them reposess the house any way? we were told on the phone we would get an eviction order but we wont be there any way.As we included the mortgage and secured loan in our bankruptcy would we have to go to court or let the OR deal with it? |
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John
New Member
United Kingdom
73 Posts |
Posted - 11 August 2008 : 15:15:14
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Hi
the OR will deal with this anyway as once you're bankrupt your interest in the property vests with him not you.
www.Bankruptcyhelp.org.uk
0800 078 9367 |
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voluntary surrender of house
