hI JUST GOT A DATE FOR OUR BANKRUPCY HEARING ITS NOT UNTIL SEPTEMBER. HFC BANK ARE PHONING ME AT LEAST TWICE A DAY ASKING ME FOR TOKEN PAYMENTS ANY ADVICE
THANKS FOR YOUR HELP MY BIGGEST CONCERN IS LOSING THE HOUSE WE HAVE WORKED ALOT OF YEARS FOR OUR HOME FOR OUR CHILDRENS FUTURES. DO YOU HAVE TO LOSE YOUR HOME ?
It all depends on the equity situation - contact a local estate agent pretend you are putting the house on the market - ask for the quick sale figure (the figure they usually reduce to after about 6 weeks) you can do this by a little white lie along the lines of ' we have to move quickly with our job, can we market it at a figure likely to achieve a sale' Contact your mortgage provider for an up to date balance (also any secured loans) take the one figure from the other and if you are in a negative equity or no equity situation you will not lose your home.
On the making of the bankruptcy the OR will record his name on your deeds at the land registry - this is called 'Beneficial interest' if following his investigations (which you can speed up by providing the valuation(s)sometimes a couple of locval agents valuations is better than one ) the property is deemed to be in a negative or no equity situation you will be offere the opportunity to 'buy back the beneficial interest' ie remove the ORs name this costs £211 plus £1 each for you and your partner. This buying of the beneficial interest does not negate you from your mortgage payments which must be made throughout the process and not be in arrears if you want to keep your property.
Hope this helps, Melanie
Melanie Nicholas 28 years insolvency experience - 23 of which in the Insolvency Service - Insolvency Manager Jones Giles email me at melanienicholas@jonesgiles.co.uk
also wanted to add with regard to your creditors - don't pay token payments a complete waste of time - just tell any creditors that contact you have a bankruptcy heaaring on....... at County Court, the creditors will then back off!
Make sure throughout this process you treat all your creditors the same - you are not expected to make any payments during the run up to the hearing as you are expected to fund the bankruptcy fee - but make sure that you do not fall foul of the 'preference' rule and treat all your creditors the same - ie do not pay any of them, you can get into difficulties if you pay one and not the other.
Also please make sure you have opened a new bank account (not linked to any of your creditors) for salary/beneifits etc This account does not need to belisted on your bankruptcy forms (only accounts where you owe money) and then you will not risk the account being frozen - If the new account was listed you would get the account 'unfrozen' but this can takeup to 5 working days - so eliminate the risk of this by not listing the account, and whenyou have your telephone appointment with the OR you can tell him you have a new account for salary etc.
The above info is completley correct - I worked in the OR's for 23 years!!! so you have no worries
Melanie Nicholas 28 years insolvency experience - 23 of which in the Insolvency Service - Insolvency Manager Jones Giles email me at melanienicholas@jonesgiles.co.uk
Thankyou so much we owe £114000 on the house it is valued at around £130000 but the compant that we have to file for our bankrupcy have told us that the OR will use a internet valuation site which when i have used values our house at £116000 totally confused but you are really helping me with your advice thankyou
It may be worth having a valuation done yourself before you declare BR but tell the Estate Agent that you want a quick sale price. You can tell them that you are moving abroad or something if they ask why you want the quick sale. If this valuation comes back at less than £114k then you can provide it to the OR.
The OR won't wait several months for the house to sell so they will put a 'quick sale' price on it to obtain any equity from it as quickly as they can.
Just got a date for our bankruptcy hearing
Posted - 21 July 2009 : 19:52:47
