Hi, I would like to voluntarily have my house repossessed (I have 5 months arrears plus a Suspended Possession Order which I have defaulted on), how do I go about this? I am also planning on going bankrupt: do I do this before or after the voluntary repossession?
Hi Shanna and welcome to the forum! You've certainly come to the right place for sound advice and some fab support! :-)
All I can tell you is how we did it. We made the decision to go BR in July. We stopped paying our creditors at that point, and only paid our priority bills (council tax, utilities etc). We stopped paying the mortgage too. We then looked for rented accommodation, so that we could move in (and have the credit checks done!) before we went BR. We moved in here at the end of August, went BR this Weds just gone and plan to hand the keys back to the mortgage company now.
It worked for us! All I will add is that you must enter your mortgage and any secured loans on both the secured and unsecured sections on your SoA (bankruptcy petition) so that any shortfall is covered in your BR.
If you are lookingat voluntary reposession and BR, ensure the house is reposessed first. This way, any shortfall on the sale of the property will crystalise into a new unsecured dbet and can be then included and written off in your BR. Ensure you list the secured debts in the unsecured section of your SOA to make this happen.
Julian Donnelly Spokesperson for www.Bankruptcyhelp.org.uk Don't forget the helpline on 0800 078 9367
how do I go about voluntary repossession
Posted - 12 September 2008 : 17:49:11
