hi we may have to go down the route of bankruptchy soon because of servere wage cut im prety sure the house will b in neg equity but not sure if we will be allowed to keep house as the morgage and sercured loan payments would be about £800 a month when we could proberly rent privite for £500-£550 so would this be looked at as exseive
Secured lending is exepmt from BR, so keeping the house will not be a propblem.
If the house is in negative equity, the OR will ask you to nominate a 3rd party to buy your "beneficial interest" for a nominal sum of £1 + costs (circa £211). You can buy this back once discharged from BR, but you will have to pay an "ad valoreum" cgarge of 1% of the value of the property in order to retain any future equity growth.
Be advised that even after selling your BI, this does not release you from your liability on the mortgage, or discharge you from your duty to continue making the monthly payments.
Julian Donnelly Spokesperson for www.Bankruptcyhelp.org.uk Don't forget the helpline on 0800 078 9367
down the route of bankruptcy
Posted - 16 January 2009 : 08:08:19
