Hi, I would be really grateful for some advice on if i can go bankrupt. My home was repossessed last year and i have recently found out the short fall from the sale is around £58,000 (including a loan that was secured against the property) i also have roughly another £11,000 of debt!! I can afford to make mimimun payments on these although making a minimum payment to the mortgage company would mean me paying this off for the next 97 years!! Any advice on this would be greatly appreciated.
Provided you are insolvent (i.e. you cannot afford to pay your bills) you will be able to declare BR.
With the debts you mention above BR would probably be your best option however you should seek professional advice before making a decision. Free advice is available from the CCCS, CAB or National Debtline. You can also get advice from the following companies who post on this board and are highly respected. They also offer free advice and will only charge if you want their assistance in completing the BR forms or even accompanying you to court on the day:
1. Debt management ( you have already done the maths here) 2. Refinance ( certainly not available now) 3. IVA (challenges with such a large debt with 1 creditor ) 4. Bankruptcy will clear your debts but will have other consequences.
Firstly youdon't need to rush into something, instead nyou need to investigate fully the options and understand how they effect you and your family life.
To fully understand an IVA and if it is a likely solution you couldn't do any better than speaking to Melanie at Jones Giles. They will give you no nonsese advice about the likely success of an iVA.
If your disposable income is tight then you probably need to understand more about bankruptcy and how to prepare for it
Hi, I would be really grateful for some advice
Posted - 19 July 2009 : 17:42:06
