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dezdek
| 19-10-2009 03:52 PM |
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Joined: 19 Oct 2009 Posts: 1 | Hi, Any help and advice would be appreciated please. We entered into a trust deed that failed in March this year. We were then declared bankrupt in May 2009, I did not actually what sequestration was at the time being quite niave! We have no equity in our property, and as I am due to have a baby next month we are looking for ways to kind of cut back. We have a relative that is prepared to pay off our mortgage and we will pay them a lower monthly payment each month, as maternity pay will not cover our mortgage payments, let alone our essential bill payments. So we are completley freaking out. Would the ownership of the house have to be transferred or can we keep ownership and what would be the implications of this?? Is there a time scale when the sequestration ends, is it a year??? Please help. Thanks. |
| DW George | 23-10-2009 11:53 AM |
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Joined: 01 May 2007 Posts: 492 My Profile | Hi dezdek Should your generous benefactor (gb)pay off the rest of the mortgage on the house then you would be in a situation where your creditors would look at you and think "my she is sitting on a lot of equity and we are owed a lot of money" what do you think will happen next? Answer, they'll go for the house. Tell your generous benefactor to hang fire for just now, until you have been discharged. Even then your Trustee will still have an interest in your home for 3 years after the Bankruptcy Order. Borrowing form relatives is fraught with problems and should only be done if you really have no where else to turn. Borrowing form a relative and transferring the house means that you are 100% that firstly you'll not fall out and secondly that they'll be solvent. After all it will then be their asset. Your current financial circumstances should be reported to your Trustee who'll have to revisit your monthly contributions. The point of bankruptcy is that you should only pay what you can afford after essentials have been taken into account. George |
